[CaptainKen]

Thanks for command console tip and of course all of this awesome help your are providing.

Yep, it hung on the 2nd attempt as the first Ctrl+C generated "" and the 2nd Ctrl+C finally got me back to a prompt.

I had made a backup of Roaming\XBMC before starting and so decide to restore it. This is when I realized I had lost my NAS connection, and thus fixed connection.

Ran texturecache.py c sets again and lost no artwork. Yeh!

However, same spot I was in before starting this project, in that the new locally stored movie set artwork isn't showing up in XBMC. Even after running movie set automator and opening a set in hopes it would refresh the view.

Here's my command prompt runs:
1st, 2nd, 3rd and 4th runs

Here's the XBMC log after the 4th run:
XBMC Log

This is the 5th run:
TC.log

EDIT:
The fanart for "Big Buck Bunny" is one of the problem artwork that isn't refreshing.