Local PC's time is one hour ahead after DST

I am working with a small company 10-15 users where there current environment has a firewall that issues DHCP, Server 2003 R2 SP2 running AD with alll pc's are running XP SP3.

Currently, every users time is 1 hour ahead of what is should be.  The current band-aid to the problem is to uncheck "Automatically adjust clock for daylight savings changes" and this makes the time correct.

The server has the correct time and has the DST check box marked.  The server is configured to use an internal hardware clock as its AnnounceFlag is set to A.   In addition, the firewall has the correct time which is being issued via NDP.

I have gone to the machines and tried to run KB955839; however, I get the message box saying "Update cannot be installed as a newer or same time zone update has already been installed on the system."  In addition, I have run TZEdit.exe on the machines to make sure the Time Zones are correct.

With pc having the same, incorrect, time I am sure I am missing something on the server but don't know where to begin to look.
CTGSupportAsked:
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B HCommented:
have you ran the timezone update patches on the server?
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CTGSupportAuthor Commented:
I thought I had ran the timezone patch on the server...I just ran KB955839 on the Server and its time is now 1 hour ahead as well.
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B HCommented:
KB955839 is the december 2008 update

here's all the 2010 updates on one page, pick the appropriate ones for your operating systems and have at it:
http://support.microsoft.com/kb/979306

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