Should work mate, as xp is xp, just means that when you reinstall that particular cd you will have a shed load of updates/service packs to install, never heard of a disc being rendered useless just because a newer version is installed.

what happens when you put the cd in and restart the pc then? out of interest.
If thats a no go then obviously you'll have to install vista wont you, unless you buy another xp disc.