How will functional level forest and domain affect this schema update for preparation to move to Server 2003 R2 SP2?

We are just kicking off an upgrade project.  My question is how to properly do the schema update because of the functional level of the domain and forest.  Here are the details:
Domain functional level : 2000 mixed
Forest Functional level: 2000 native

I know that in 2003 native the server holding the FSMO role for Schema Master has the only writeable copy so I would run adprep /forestprep with the 2nd R2 cd there.  

My question is because we are not running at 2003 native, is this process still the same?  I know 2000 functinal levels for both forest and domain work quite differently than 2003 mode, so I just am making sure we do not hit any problems during this.  As a side note, how would this affect an exchange server that also happens to be a DC and running at windows 2000 mode?  

Does the schema master still handle pushing pushing out these changes to the other DC's or do I need to make this schema update on all of the dc's?  I am assuming I just make the change on the schema master and it handles the rest.  We will be upgrading the functional level to 2003 for both forest and domain in the near future also.
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The process is the same no matter what your functional level is.  

The schema master is where you perform the forest prep and it replicates to everyone.
The infrastructure master is where you perform the domain prepep and it will replicate.

No worries

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Windows Server 2003

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