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SBS 2000 to SBS 2003

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I'm looking into moving from SBS 2000 (with the Exchange option) to SBS 2003.

I've been reading about the multitude of options, from swinging it to doing an in-place upgrade, and just had a question about the in-place upgrade. When you perform the upgrade, does it handle the Exchange upgrade as well, or would it carry over Exchange 2000? Worse, yet, would I need to do the in-place upgrade from SBS 2000 to SBS 2003 then install Exchange and push the IS through back-ups, etc?

It would seem to me that Exchange would be updated to 2003 along with the primary O/S but I can not find anywhere that explicitly confirms nor denies this.

Thanks.

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