I had almost the same issue. Trying to make a DVD with AVI video files, it started the encoding process and at the 0.5% it crashed with a critical error. Sometimes it referenced to the kernell32.dll file, others to MCACM32.dll. After checking some forums, a fix was to install the k-lite codec pack, and use the codec tweak tool that comes with it and disable all entries for any Indeo codec listed there, before doing that I uninstalled the Xvid codec pack previoulsy installed. After that DVD maker acted worst, it chrashed as soon as I added any video file. So I uninstalled the k-lite pack, and the issue remained, but now making reference to divx codec files. Then I uninstalled the Divx codec pack (don't remember if I installed it in the past :P). Downloaded the Divx player with its codecs, rebooted, and tried again, it worked.
So very likely DVD maker is pretty picky about the codecs installed, so take a look and reinstall/uninstall the codecs that you have and check one by one until you have the correct codecs for DVD maker to work.
Hope this helps