It's possible the DC needs a reboot for the setting to be effective? Some of 
this legacy stuff is like that.

I'd get a network trace of the failed communication though as a troubleshooting 
step and see where it actually fails.

Thanks,
Brian Desmond
[email protected]

w - 312.625.1438 | c   - 312.731.3132

From: N Parr [mailto:[email protected]]
Sent: Thursday, August 11, 2011 11:23 AM
To: NT System Admin Issues
Subject: NT authentication to 08 DC's

So I did my research and found multiple answers that say the same thing.  In 
order for old NT clients to authenticate to 08 DC's you have to change the 
following.  I've done so with no success.  Am I missing something else?  It's 
been 6 hours since I made the change so policy should have replicated.  Nothing 
in the security event log on the DC other than and audit success when the 
computer attempted to validate the credentials for the account.


Default Domain Controller GPO:
Computer Configuration->Policies->Windows Settings->Security Settings->Local 
Policies->Security Options

Network security: LAN Manager authentication level
----Send LM & NTLM - use NTLMv2 session security if negotiated

Computer Configuration->Policies->Administrative Templates->System->Net Logon

Allow cryptography algorithms compatible with Windows NT 4.0
---Enabled

Software\Policies\Microsoft\Netlogon\Parameters\AllowNT4Crypto 1
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