Joe , it only affects the protection for Internet Explorer and even then it's only partially disabled. In my case it has 190 items that have protection disabled. There is still quite a number of items that are still protected . Obviously as AVG updates are released this number may change. Restricted sites and Mozilla Firefox protection is unaffected .
Forgot to add Joe , after running AVG and removing the said "offenders" , you can go back and re immunize in SpywareBlaster and you will again have full protection . Obviously when you run AVG the next time you will be faced with the same problem. Have to say......well i'm just wondering ..... AVG has conflicts with SpywareBlaster AND Spysweeper........mmmmmm.