There are significant problems with JDK7 built with the recent versions of Windows SDK (6.1, 7.0 or 7.0A). When any GUI application is started, the following assertion is triggered (in debug/fastdebug modes):

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AWT Assertion Failure
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SystemParametersInfoW(0x0029, ncmetrics.cbSize, &ncmetrics, 0)
File '../../../src/windows/native/sun/windows/awt_DesktopProperties.cpp', at lin
e 237
GetLastError() is 0 : The operation completed successfully.

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If the application then requests for Windows L&F, it becomes completely broken (likely because of the wrong metrics and wrong desktop properties).