The email engine will cause problems with the install unless you either  
install it last or turn it off and make it manual. When the install software  
tries to restart the AR server since the email engine is trying to be started  
also the install software does not get the confirmation that the system has 
been  
restarted and the install will hang with the prompt saying restarting server. 
My  client is working with 7.0.1 server and 7.02 applications and patch  3.



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