Regarding:

xpsql.cpp: Error 87 from GetProxyAccount on line 604

This error seems to have been introduced with MSSQL 2000 SP 3.

I was able to work around the problem with the following articles.

http://groups.google.com/groups?hl=en&lr=&ie=UTF-8&oe=UTF-8&selm=ecP8eNUyCHA.1120%40TK2MSFTNGP11

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