Searching for the component guid in the file, i find the following 4 lines:
MSI (s) (6C:1C) [15:01:00:966]: Executing op: ComponentRegister(ComponentId={3B58EFDE-83EE-470A-9DED-3E28CAA264D7},KeyPath=C:\Documents and Settings\All Users\Application Data\MyApp\PackageConfig\PackageList.idx,State=3,,Disk=1,SharedDllRefCount=0,BinaryType=0)
1: {5647D1B9-4377-4AD8-849B-40D47334EB3C} 2: {3B58EFDE-83EE-470A-9DED-3E28CAA264D7} 3: C:\Documents and Settings\All Users\Application Data\MyApp\PackageConfig\PackageList.idx
MSI (s) (6C:1C) [15:01:00:966]: Executing op: ComponentRegister(ComponentId={3B58EFDE-83EE-470A-9DED-3E28CAA264D7},KeyPath=C:\Documents and Settings\All Users\Application Data\MyApp\PackageConfig\PackageList.idx,State=3,ProductKey={00000000-0000-0000-0000-000000000000},Disk=1,SharedDllRefCount=0,BinaryType=0)
1: {00000000-0000-0000-0000-000000000000} 2: {3B58EFDE-83EE-470A-9DED-3E28CAA264D7} 3: C:\Documents and Settings\All Users\Application Data\MyApp\PackageConfig\PackageList.idx
It must have something to do with the second pair of lines, as none of the other files in the old component have this second pair of lines, just the first. But i don't see anywhere in the component settings where you specifya product key... This component is a child of a feature which itself is a child of another feature. Not sure of the significance of that (i didn't make it that way, i've inherited this quite well established installer project), but thought i would mention it, as this is the only example of this structure in the Setup Design.
Getting closer!!