Do the following and you'll be set, I'm starting pretty much where your #4 begins.
1. Make sure you BB Desktop Manager closed.
2. Go to C:\Program Files\Common Files\Research In Motion\Shared\Loader Files\8100-v4.2.0.42_P2.2.0.28 and rename the BlackBerry.alx to Blackberry.alx.old (you just wanna change the name to something different)
3. Download the ZIP that DC/DC provided, that contains the NEW Blackberry.alx.
4. Take the NEW Blackberry.alx you extracted and copy it to the same directory as the one I listed above (C:\Program Files\Common Files\Research In Motion\Shared\Loader Files\8100-v4.2.0.42_P2.2.0.28).
5. Open you BB Desktop MAnager and you will see a prompt for updating, click yes and the rest is like taking candy from a baby...or a real old person.
This is all I did and it worked, hope this helps!
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