Remote Desktop fails after login only when on wifi

1.) HP nx9010 Laptop: Format and install of WindowsXP Pro on 9/16/2010. SP3 and latest HP drivers installed.
2.) No issue with RPD to or from over Wireline.
3.) No issue with RDP to other PCs over WiFi.
4.) Wireline physically disconnected during WiFi testing and troubleshooting.

RDP to the unit displays the logon screen but fails AFTER username and password submitted.

FYI: Pings to WiFi nic stop immediately following clicking OK on the Winidown Log On box. AP does show the client as associated.