We have two terminal servers (2K3 R2 and 2K8 R2). Each user accesses only one of the two terminal servers on a daily basis. Each user (i.e. ‘jsmith’) has a dedicated terminal server user accounts (i.e. ‘jsmithRDP’) and these are stored on a DFS share. We use separate accounts rather than using terminal server profile paths for GPO processing reasons.
When users connect to the 2K8 R2 machine, they always get a temporary profile that won't save changes. Of course, everything works fine on the 2K3 R2 machine.
I have checked to make sure the users are not members of the domain guests group as that seems to be a common issue.
Since we rely heavily on GPO to customize the environment, I also tried moving the RDP user accounts to another OU in Active Directory. This was just to isolate AD from the equation – again no luck.