The discussion about bitmap feathering finally got me to install the XaraXtreme 3.2 version CD. Then I headed for this tread about the "small update" and read:
" This is a patch to the CD version. You must have installed the CD version (version 3.2.3 CD) and no other"

I have Xara X1, Xara Xtreme and now Xara Xtreme 3.2 loaded on my XP machine. Does the about quote mean I need to delete all the older versions before adding this "small update"?