Update:
I uninstalled x2, manually removed the leftover registry entries and files. Re-installed x2. When I ran the first time I did not import settings from x1 as I had done the first time I installed.
I thought it was going to work because it loaded the th2 plugin in a clean project. Then I tried closing the project and when I opened it again I still get the error that the plugin is not installed correctly.
However X2 no longer crashes after it fails to load the th2 plugin as it was doing before. That is at least some progress.
Just to clarify I get the message that the th2 producer 64 plugin is not installed correctly now.
I rebooted the computer and tried the project and it opens the th2 plugin again. Closing the progect and trying again causes the VST Plug-in Error stating the following plugin failed to load.
Then I rebooted again and was able to load th2 again. This time I clicked on the preferences and deselected the "show tool tips" option and closed. Tested again and now I can open th2 anytime without problems.
Just to verify I turned the "show tool tips" option back on and closed the project. Shure enough th2 fails to load again. I rebooted, turned the option off and all is well again.
Please note that rebooting did not get things working before I removed and reinstalled without importing the settings from x1 the first time x2 is loaded
I will post an error report with these details.