I had the same issue which drove me ape and broke my heart because i'd bought the bundle primarily for Limbo and Bastion (lappy can't power Amnesia or Psychonauts and i've played S&S). Anyway I can only tell you what worked for me in the hopes that it might help someone else.
I'd tried every single suggestion; upgrading direct x (was already current), changing the monitor to single screen (already was), launching in compatibility mode for windows 7 (I have windows 7 so no compatibility for windows 7 was available). After all that I updated my driver and still had no luck so in a final desperate attempt I uninstalled the game and re-installed it... and it worked. Simple as that.
So try uninstalling the game (if you haven't already), I performed an extensive removal with revo uninstaller. When you re-install launch the game right away when it prompts you too, this is what I did and I can't say whether it made a difference or not - but like I said it's working for me now.
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