Just want to try to sort this out in case it happens to somebody else ) In other words, is there any direct evidence that Tray Tools was the culprit and not something related to a driver installation issue?
Did your brother uninstall anything ATI-related after installing Tray Tools and before confirming Skyrim would boot? Hmmm, still not convinced what caused this. After doing that and reinstalling, everything works, so it turns out it was indeed the tray tools that messed up things somehow :) Just glad its over now though and that we never got around to uninstalling all mods etc! Finally got it working after we noticed you had linked your uninstall/install ATI drivers reference to the wiki and ran that batch-file in safe mode.