thanks tommyp, i agree pita and that makes sense enough to me!
turdflinger - I'd prefer not to include other info such as you mentioned about IIS. It's not my intent to offer all scenerios of who installs what and what hotfixes are required for their system. It's already a pita with the various flavors of WMP and IE. In the case of the IIS update you mention, if someone has their winnt.sif file set up to install IIS, then the latest IIS will be installed. If the option is turned off, then it won't install, but the latest fileset still resides on the installation CD. The severity rating will remain as what MSFT says. It's not my call to redefine how MSFT rates their OS software.
spamkonto1 - Thanks for the tips. 911564 removed, but it appears that package installer 893803 is not part of the XPSP3, or at least that's what it says at KB946480. The legitcheckontrol.cab is periodically updated. It's good to keep the latest version there. I don't know how to answer your Q if it's an IE7 thing or not. I don't use IE7 or XP. I dislike both.
Supported Operating Systems: Windows 2000 Service Pack 3; Windows 2000 Service Pack 4; Windows Server 2003; Windows XP; Windows XP Service Pack 1; Windows XP Service Pack 2
It doesn't list XPsp3 though...