Deploying Printer to XP and Win 7 environment before it is connected to network

I have a client that is getting 4 new office printers that will be replacing their leased printers. The third party company will come in, take away the old printers and set up the new printers. By set up, I mean they will connect the network cable, power it on, program the IP address I give them and take off. I need to pr-stage these printers so that users will be able to print as soon as the new printers are powered on. There are a lot of users depending on these printers to work with little downtime as possible. This is a 24/7 operation unfortunately. So, it is a server 2008 R2 / Windows XP / Windows 7 domain environment.
I am really getting close to the deadline of new printers arriving so I will walk through exact steps I have taken to get this set up.
Ok. I have a server running 2008 R2. I added the Print services role.
Right click 'Printers' -> Add printer
select 'Add a TCP/IP Printer by IP address or hostname'
'Type of device' = 'Autodetect'
'hostname or IP address' = 'x.x.x.x' (IP address that printer will be set to)
'Port name' = 'x.x.x.x_2'
do NOT select 'auto detect printer driver'
 select 'Generic Network Card'
select 'Install new driver'
select 'Have Disk' and browse to driver
'Printer name' = Printer Name
select 'share this printer'
'Share name' = Printer Name
next, next, driver installs and printer installs, and finish.
Now you have the printer installed and showing up under printers.
Now, I right click printer and -> deploy with group policy
Browse to the OU where users are located in ADUC, select the GPO that I have linked to that OU, select 'apply to users' click 'add' and click 'OK'.
The GPO adds a setting:
User Config -> Policies -> Windows Settings -> Printer Connections -> Path -> \\Server\Printer
Now, I log in to a win 7 computer, gpupdate, printer shows up in devices and printers. I can't print to it obviously since it's not connected to the network yet. But, when I log in to an XP computer, run gpupdate, it does NOT populate in devices and printers.
When I run gpresult the policy is applied, but the printer is not showing up in devices and printers. Also, I can search for the printer and install it that way since I chose 'list in directory' from the printer server so I know the driver is correct.
What am I doing wrong?
Thank you in advance.
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CCtechAsked:
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CCtechAuthor Commented:
Also, I have verified that client side extensions, kb943729 is installed on the XP machines.
Once I get this working, I also noticed that the printer is not set as the default (on the win 7 machines where it's actually showing up).
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MaheshArchitectCommented:
If you are using GP Preferences to deploy printers, then correct GPO path is User configuration\Preferences and you need to deploy printers in update mode.

Also ensure that cse patch is installed on all windows XP machines

Also in GP preference printer properties on common tab ensure that you have selected "Run in logged on user security context", otherwise printer installation will fail

Because GP preferences run under local system account and this account do not have permissions on shared printer

http://www.grouppolicy.biz/2011/01/faq-2-how-do-you-map-printer-using-group-policy-preferences/

Mahesh
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CCtechAuthor Commented:
I found the issue. On the XP machines, pushprinterconnections.exe needs to be set up to run in a logon script. All set.

http://technet.microsoft.com/en-us/library/cc772505(v=ws.10).aspx
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CCtechAuthor Commented:
Found solution on Technet.
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Windows Server 2008

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