Error : 'Error reading XMl file : Forms\InstancesTDM.txe' (4329332)

After launching Toad Data Modeler 3.2.5, gets an error : Error reading XMl file : Forms\InstancesTDM.txe.

1) Backup TDM.TXE file which is at the following location: Documents and Settings\User Name\Application Data\Quest Software\Toad Data Modeler\Configs and delete it. New TXE file will be created on TDM startup.
2) If the deletion doesn't help, locate file with the same name at location: Program Files\Quest Software\Toad Data Modeler 3\Configs and again, backup and delete it.