Confirmed. This just started happening to me, as well, and was working fine yesterday.
*UPDATE*: I went on to find out that all audio was now corrupted on my system. I had to do a full reboot to get it back to normal. I assume that the game changed my audio bit rate from the 48000 Hz to 41000 Hz. I can't confirm this, but it would make sense that the audio would come out with that kind of digital distortion sound. Hope that helps!
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Windows 7 x64
ASUS M4A785TD-V Motherboard
AMD A3 720 BE Processor unlocked to quad core @ 2.8 ghz
4 GB DDR3 RAM at 1333MHz
E-MU 0404 Audio Card
ASUS Brand ATI Radeon HD 5770 Video Card
Latest ATI video drivers
Playing game at 1900X1200 w HQ settings