THe LPT1 printer port must be completely *unused* on the host for any
guest to be able to use it. Often there are hidden services in XP that
grab the printer port making it unusable for the guests. In your case
I would suspect this since you have installed that printer on the
host, which means that the host is monitoring the printer port. That
would make it unavailable to the guests.

I have found that the only way to use the LPT ports in guests is to
*disable* the print spooler on the host....

Another thing, you talk about two guests being configured for use ofd
the LPT1 port. THis is not possible (at least if they are to run
simultaneously) because there is no sharing mechanism in VPC2007. THe
hardware is assigned a guest on an exclusive basis.

I would try to install the printer on the guests as network printers
instead and share it from the host. In that scenario you would not
assign the LPT port to any guest and you would keep the print spooler
running on the host.
Do it just like you would if you had one PC on the network with a
printer and the other PC:s sharing that via the network. Generally the
best idea.

Bo Berglund