I am testing our installers on Vista, thus, I don't get a choice of OSes.
Looks more like a UAC problem, rather than a SP1 problem.
Some more information.
Using my same domain credientials to log on to both the HOST and VPC.
UAC is off on my HOST.
UAC was ON in the VPC.
Turning UAC off in the VPC has helped a lot.
1. The "Disconnected Drive is now a "Network Drive"
2. It works to launch .exes and copy.
Although I have turned UAC off, it is not a viable solution as I need to
test w/ UAC on as well.