Ok, go to the ATI website
http://ati.amd.com/ and click on Graphics Driver under support. Click Vist-32-Bit version and
click on Radeon on the next panel. Click on the Radeon HD 3400 series and click go. Go to the Helpful links to the right and click Prvious Drivers and Software. Click on the 9.1 or an earlier version and download it and install it. MAKE SURE YOU UNISTALL YOUR OLD DRIVER BEFORE INSTALLING THE NEW DRIVER! Hopefully that will fix it.
I have an Radeon HD 3600 and have the version 7.15 from 9/23/08 so maybe version 8.9 will work for you.