There is a bug in Windows Server 2008 R2 causing a "Bad DNS Packet" error when you try to setup (or promote) Active Directory using Simple DNS Plus and other non-MS DNS servers.
The problem is described in MS KB 977158 - see http://support.microsoft.com/kb/977158/EN-US
The solution is to install the mentioned Windows hotfix. However the MS KB article only links to the IA64 version of the hotfix - not the X64 version which most people need. You can get a copy of the X64 version from https://simpledns.plus/outbox/KB977158-x64.zip
Note that this hotfix will likely be included in a future automatic Windows update and/or a service pack. So this temporary solution will only be necessary until then.
For more information on using Simple DNS Plus with Active Directory, click here
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