Kacir, thanks for the clarification on which version to use. I dropped back to the 14.2 SDK and tried that setup. This showed I left out an important step in my earlier note.
The exe file that installs the SDK must be run as admin. You do this by right clicking on the file and selecting the "run as administrator" option. You must do the same when running the modified install.bat file in c:\pbsdk.
Both operations modify the computer configuration and Win 7 insists this must be done by an administrator. Earlier Windows versions were more relaxed in regard to changes.