All other LUP deployments work fine (Firefox, Java, Adobe Flash). Acrobat has two .cab files, 394 mb and 83 mb. It's much larger than the others and works fine in all cases except Windows 7 SP1.
It looks like Microsoft is on the case per the last message in this thread:
One particular software package no longer installs on Windows 7 after upgrade to SP1 - error 80070570 (file corrupt)