In part, Jeremy had the following to say:
The malware has been classified as a worm and spreads through AOL's Instant Messenger program, said Graham Cluley, senior technology consultant for Sophos PLC, a security vendor.
Sophos is calling it W32.Cuebot-K, a new variation in the Cuebot family of malware. The worm has a range of malicious functions. After it's installed, the worm immediately tries to connect to two Web sites, a sign it may try to download other bad programs on the machine.
He continues with a discussion on A Nasty Payload and Worm With an Ironic Twist
This is definitely worth the look...check out Jeremy's article here.