I have an Asynchronus IHttpHandler in ASP.net and I am seeing this exception error in my ELMAH capture.
Windows Server 2008 R2 Web Edition IIS 7.5 ASP.NET .NET 4.0 R
This is an error reported by underlying unmanaged layers of IIS7 (webengine.dll). After some googling, the most relevant thread seems to indicate this is an error due to the network card driver configuration (TCP Offloading).
See this: An error occurred while communicating with the remote host. The error code is 0x80070001