This actrotry application is provided by Adobe and appears to be used as part of the print to pdf functionaility they provide. I would suggest the following
1. If you are not using the print to pdf functionailty I suggest you remove it
2. If you are using it my research shows Adobe has made improvements to how this works in later versions. Check you are using the latest version or
3. There are a number of 3rd party applications that support the same functionailty of printing to pdf that are tested and known to work well on Terminal Server. Examples include the following
Win2PDF:
http://www.win2pdf.com
PDF995:
http://www.pdf995.com/
hope this helps
Craig