The most likely cause is the use of '%0\..\' inside your login script which is interpreted incorrectly under Windows XP. This has been discussed a lot on this board. A search for 'Windows XP %0' will retrieve those discussions.

It is recommended to use the '%0\..\' only for Windows 9x. Windows NT/2000/XP don't require it. An example login.bat compatible with Windows 9x/NT/2000/XP is here: Mixed Win9x, W2K, WinXP Workstations
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There are two types of vessels, submarines and targets.