JRE8u25 doesn't install using system account

FULL PRODUCT VERSION :
irrelevant

ADDITIONAL OS VERSION INFORMATION :
Windows 7 x64 SP1 PL OEM version 6.1.7601

EXTRA RELEVANT SYSTEM CONFIGURATION :
irrelevant

A DESCRIPTION OF THE PROBLEM :
I use GPO startup/shutdown scripts on order to install and update software. Those scripts are being run with system account rights. I've noticed that, unlike version 7 of Java RE, JRE8u25 doesn't install when run from startup/shutdown script or with any other means that lets me use system account right for installation. It applies to every Windows 7 x64 machine on my network (all SP1, all polish).
The same method used with administrator account is always successful.
On the other hand, those issues apply to Windows 7 machines only - the same installer WORKS on Windows XP machines and installation is successful!

REGRESSION. Last worked in version 7u71

ADDITIONAL REGRESSION INFORMATION:
irrelevant

STEPS TO FOLLOW TO REPRODUCE THE PROBLEM :
1. start cmd process with system rights (use psexec from sysinternals suite):
psexec -s cmd
2. start silent installer:
start /wait jre-8u25-windows-i586.exe /s

EXPECTED VERSUS ACTUAL BEHAVIOR :
EXPECTED -
Java gets installed.
ACTUAL -
Java doesn't install at all.

ERROR MESSAGES/STACK TRACES THAT OCCUR :
c:\windows\temp\jusched.log:

[2014/10/20 12:46:27.854, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: Wrapper begin...
[2014/10/20 12:46:27.854, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), WrapperUtils.cpp:1809 (IsThisAFamilyUpgrade)]
INFO: This is a Family Upgrade install
[2014/10/20 12:46:27.854, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: No Old AU Version found

[2014/10/20 12:46:27.854, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: Wrapper Load ConfigSettings...
[2014/10/20 12:46:27.854, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: -->Loading Important args...
[2014/10/20 12:46:27.854, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), InstallConfigData.cpp:214 (InstallConfigData::InitConfig)]
INFO: Default config settings are:
INSTALL_SILENT=Disable
STATIC=Disable
AUTO_UPDATE=Enable
WEB_ANALYTICS=Enable
EULA=Disable
SPONSORS=Enable
OEMUPDATE=Disable

[2014/10/20 12:46:27.854, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), InstallConfigData.cpp:443 (InstallConfigData::ImportArgsConfigSettings)]
TRACE: Entering InstallConfigData::ImportArgsConfigSettings
[2014/10/20 12:46:27.854, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: ...Importing command line arguments
[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), InstallConfigData.cpp:0 (InstallConfigData::ImportArgsConfigSettings)]
TRACE: Exiting InstallConfigData::ImportArgsConfigSettings (entered at InstallConfigData.cpp:443)
[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: |------Important args config (TMP)--------|

INSTALL_SILENT = Disable
STATIC = Disable
AUTO_UPDATE = Enable
SPONSORS = Enable
WEB_ANALYTICS = Enable
EULA = Disable
OEMUPDATE = Disable
/s = 1
|-------------------------------------|

[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: -->Loading Config...
[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: ...Importing runtime configuration file...
[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:145 (logit)]
INFO: Runtime config file path is C:\ProgramData\Oracle\Java\java.settings.cfg
[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: Runtime configuration file doesn't exist. It will be created later by settings_api.
[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), InstallConfigData.cpp:443 (InstallConfigData::ImportArgsConfigSettings)]
TRACE: Entering InstallConfigData::ImportArgsConfigSettings
[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: ...Importing command line arguments
[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), InstallConfigData.cpp:0 (InstallConfigData::ImportArgsConfigSettings)]
TRACE: Exiting InstallConfigData::ImportArgsConfigSettings (entered at InstallConfigData.cpp:443)
[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), InstallConfigData.cpp:553 (InstallConfigData::CheckParams)]
TRACE: Entering InstallConfigData::CheckParams
[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), InstallConfigData.cpp:0 (InstallConfigData::CheckParams)]
TRACE: Exiting InstallConfigData::CheckParams (entered at InstallConfigData.cpp:553)
[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: -->Saving backup...
[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: ...Importing runtime configuration file...
[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:145 (logit)]
INFO: Runtime config file path is C:\ProgramData\Oracle\Java\java.settings.cfg
[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: Runtime configuration file doesn't exist. It will be created later by settings_api.
[2014/10/20 12:46:27.864, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: |------Config to backup--------|

|-------------------------------------|

[2014/10/20 12:46:27.874, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: -->Loading export config...
[2014/10/20 12:46:27.874, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: ...Importing runtime configuration file...
[2014/10/20 12:46:27.874, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:145 (logit)]
INFO: Runtime config file path is C:\ProgramData\Oracle\Java\java.settings.cfg
[2014/10/20 12:46:27.874, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: Runtime configuration file doesn't exist. It will be created later by settings_api.
[2014/10/20 12:46:27.874, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), InstallConfigData.cpp:443 (InstallConfigData::ImportArgsConfigSettings)]
TRACE: Entering InstallConfigData::ImportArgsConfigSettings
[2014/10/20 12:46:27.874, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: ...Importing command line arguments
[2014/10/20 12:46:27.874, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), InstallConfigData.cpp:0 (InstallConfigData::ImportArgsConfigSettings)]
TRACE: Exiting InstallConfigData::ImportArgsConfigSettings (entered at InstallConfigData.cpp:443)
[2014/10/20 12:46:27.874, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), InstallConfigData.cpp:553 (InstallConfigData::CheckParams)]
TRACE: Entering InstallConfigData::CheckParams
[2014/10/20 12:46:27.874, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), InstallConfigData.cpp:0 (InstallConfigData::CheckParams)]
TRACE: Exiting InstallConfigData::CheckParams (entered at InstallConfigData.cpp:553)
[2014/10/20 12:46:27.874, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: -->Adding CMDLINE to config...
[2014/10/20 12:46:27.874, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: -->Normalizing Export...
[2014/10/20 12:46:27.874, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: |------Config to export--------|

|-------------------------------------|

[2014/10/20 12:46:27.874, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: |------!!!!Working config!!!!--------|

INSTALL_SILENT = Disable
STATIC = Disable
AUTO_UPDATE = Enable
SPONSORS = Enable
WEB_ANALYTICS = Enable
EULA = Disable
OEMUPDATE = Disable
/s = 1
|-------------------------------------|

[2014/10/20 12:46:27.884, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), Locales.cpp:317 (Locale::preferredLanguages)]
INFO: PreferredUILanguages: Vista+
[2014/10/20 12:46:27.884, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: Wrapper, check for reinstall case..
[2014/10/20 12:46:27.884, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), WrapperUtils.cpp:1529 (IsSameJREVersionInstalled)]
ERROR: Error Opening registry key SOFTWARE\JavaSoft\Java Runtime Environment: 183
[2014/10/20 12:46:27.884, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), WrapperUtils.cpp:1530 (IsSameJREVersionInstalled)]
INFO: No same version JRE exists
[2014/10/20 12:46:27.884, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), WrapperUtils.cpp:1529 (IsSameJREVersionInstalled)]
ERROR: Error Opening registry key SOFTWARE\JavaSoft\Java Runtime Environment: 183
[2014/10/20 12:46:27.884, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), WrapperUtils.cpp:1530 (IsSameJREVersionInstalled)]
INFO: No same version JRE exists
[2014/10/20 12:46:27.884, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: Wrapper: Extract MSI ...
[2014/10/20 12:46:28.424, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), Locales.cpp:317 (Locale::preferredLanguages)]
INFO: PreferredUILanguages: Vista+
[2014/10/20 12:46:28.424, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), Locales.cpp:317 (Locale::preferredLanguages)]
INFO: PreferredUILanguages: Vista+
[2014/10/20 12:46:28.784, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), UpdateUtils.hpp:46 (getCheckSum)]
ERROR: Error opening file "C:\Windows\system32\config\systemprofile\AppData\LocalLow\Sun\Java\jre1.8.0_25\Java3BillDevices.jpg" failed with system error 2 (Nie można odnaleźć określonego pliku)
[2014/10/20 12:46:28.784, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: szOnlyFirstCommandLine = "C:\Windows\SysWOW64\\msiexec.exe" /i "C:\Windows\system32\config\systemprofile\AppData\LocalLow\Sun\Java\jre1.8.0_25\jre1.8.0_25.msi" /qn /qn
szExecutableNameCommand = "C:\Windows\SysWOW64\\msiexec.exe" /i "C:\Windows\system32\config\systemprofile\AppData\LocalLow\Sun\Java\jre1.8.0_25\jre1.8.0_25.msi" /qn /qn

[2014/10/20 12:46:28.784, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: ...Exporting config settings
[2014/10/20 12:46:28.784, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: Nothing new to export to runtime.
[2014/10/20 12:46:28.784, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: Upgrade install and Security level >2, show the Med->High Security text
[2014/10/20 12:46:28.784, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: Wrapper: Execute MSI ...
[2014/10/20 12:46:28.784, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), Executor.cpp:147 (Executor::startExecution)]
INFO: Executor.exec(): "C:\Windows\SysWOW64\\msiexec.exe" /i "C:\Windows\system32\config\systemprofile\AppData\LocalLow\Sun\Java\jre1.8.0_25\jre1.8.0_25.msi" /qn /qn
[2014/10/20 12:46:28.844, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), Executor.cpp:195 (Executor::finishExecution)]
INFO: Executor.finishExecution(): ExitCode = 1619
[2014/10/20 12:46:28.844, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), Executor.cpp:198 (Executor::finishExecution)]
ERROR: Executor.finishExecution(): Process execution failed with system error 183 (Nie można utworzyć pliku, który już istnieje)
[2014/10/20 12:46:28.844, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: ...Restoring config settings
[2014/10/20 12:46:28.844, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: Could not get MSIStatusError registry value.
[2014/10/20 12:46:28.844, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: Could not get MSIStatusExtendedError registry value.
[2014/10/20 12:46:28.844, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: GetMSIStatus() failed. Return Code: 2, ErrorCode: 183
[2014/10/20 12:46:28.844, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: Pings enabled
[2014/10/20 12:46:28.844, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: GetUpdatedJreMetrics() - MachineCount registry value exists

[2014/10/20 12:46:28.844, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), AllUtils.cpp:141 (logit)]
INFO: GetUpdatedJreMetrics() - MachineCounted: YY, InstallAttempts: 2, UpdateCount: 6

[2014/10/20 12:46:29.174, jre-8u25-windows-i586.exe (PID: 1804, TID: 3680), UpdateConf.cpp:967 (LogHeadRequestBuffer)]
INFO: Ping Values: $sc_xml_ver#1.0$reportsuiteid#suninstallstat$visitorid#1079f5f5-444e8040$prop21#1079f5f5-444e8040$prop20#XXXXXX$pagename#ic$evar42#0$evar24#0$evar25#0$evar2#1.8.0_25-b18$evar15#1.8.0_25-b18$evar40#-1$evar26#-99$evar27#2.8.25.18$evar28#XX$evar4#i586$evar5#amd64$evar6#win7-sp1$evar7#joff$evar8#PL$events#event6,event7$evar17#2$evar18#YY$evar19#6$evar29#2$evar30#-1$evar31#32bit$evar50#B11100$products#;jre|1619;;;;evar3=1.7.0_71|evar32=32bit


REPRODUCIBILITY :
This bug can be reproduced always.

CUSTOMER SUBMITTED WORKAROUND :
Installing as local/domain administrator.