Had to struggle with this initialization-problem aswell (and a problem with steam saying '!!MISSING STRING' when trying to update BattlEye). My sollution was to look up my whole machine for BattlEye-Folders, of which i found 4. One in the userprofile under application data\Local\Arma 2 OA, one under c:\program files\Bohemia Interactive, and the 2 folders in the Gamefolders Arma2 and Arma2OA. Folderpaths/names may differ from OS and language, so do a simple search for BattlEye ;). In those BattlEye-folders i overwrote the both dll-files (client & server) with the ones from http://www.battleye.com/download.html . That fixed it for me (well dont know about the missing string thing). Good Luck
