from a Samba PDC, (samba-2.2.4_1) and it works fine.
Did you create separate machine accounts for each machine in
/etc/passwd?
Does the 2nd machine report that it has joined the domain?
We have about 50 XP machines here running from 2.2.4_1 and working fine.
Here is the top of my smb.conf file...
# Global parameters
[global]
        workgroup = GROUP1
        netbios name = UnixServer
        server string =  Fileserver
        interfaces = 192.168.100.244/24 10.20.20.1
        encrypt passwords = Yes
        domain logons = Yes
        domain master = Yes
        preferred master = Yes
        local master = Yes
        wins support = Yes
        os level = 65
        logon script = %U.bat
        security = user
        logon drive = H:
        logon home = \\NEP-Unix\%u
        domain admin group = @wheel
Hope this helps,
Jim
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