Win7, cannot copy or dir in folder with braces ie. system32\catroot\{F75...39}

You could try using Unstoppable Copier

Available here: http://www.roadkil.net/program.php/P29/Unstoppable%20Copier

Just make sure you run the program as administrator. It's pretty great at grabbing troublesome files.

StarDusterII--
Can you physically see the oem9.cat file?  If not it is probably a Hidden File.
To really show all hidden folders and files
1) In Explorer, click Organize in ToolBar|click "Folder and Search Options"|View|uncheck "Hide protected operating system files"|Yes|Apply|OK.  
2) And if not already done, under "Hidden Files and Folders", check "Show hidden files, folders,..." and uncheck "Don't show hidden files, folders...".

Now that you can see oem9.cat (or you always could see it), right click|Properties and change Permissions and Ownership as required.
http://www.addictivetips.com/windows-tips/windows-7-access-denied-permission-ownership/

Now can you do what you want with oem9.cat?

I can see the files in Windows explorer.  I should have been more clear when I said I've given "Everyone" full control.   I took ownership of the folder and gave "Everyone" full permissions on the entire catroot folder.

If you do a dir from the command line (running as administrator), you can't see the file.  Copy is apparently running into the same issue.

I'll check out the Unstoppable Copier and see how that goes.

Unstoppable Copier was able to copy the file.  Unfortunately, we can't use that approach since this will be given to a client who will use a script to install this package and must do it with xcopy or copy.

But maybe it will give you a hint as to why the regular copy won't work.

StarDusterII --Don't you feel I helped a little by mentioning the issue of Hidden and System files in http:#a39634076 ?

My own fault for not realizing what I was looking at.  Dir and Copy both needed to explicitly specify hidden and system files