Update, just noticed it doesn't post correctly on the UT. I'll have to email it to you...
I've written and parsed xfdf files in the past. Are you stripping out the special and reserved chars first?

FUNCTION XmlEncode
LPARAMETERS teExpression

*-- Transfrom 5 Known reserved XML characters only

LOCAL lcReturn
lcReturn = TRAN(teExpression)

IF VARTYPE(teExpression) = 'C'
	lcReturn = ALLTRIM(lcReturn)
	lcReturn = STRTRAN(lcReturn, ' & ', ' & ')  && remove the spaces in all of these before using
	lcReturn = STRTRAN(lcReturn, ' < ', ' < ')
	lcReturn = STRTRAN(lcReturn, ' > ', ' > ')
	lcReturn = STRTRAN(lcReturn, ' " ', ' " ')
	lcReturn = STRTRAN(lcReturn, " ' ", ' &apos; ')
	lcReturn = STRTRAN(lcReturn, " / ", ' / ')
ENDIF 

RETURN lcReturn

*-------------------------------------------------------------------------
FUNCTION XMLDeCode
LPARAMETERS cTXT
LOCAL i,ch
FOR i=1 TO 255
  ch=ALLTRIM(STR(i))
  cTXT=STRTRAN(cTXT,"&#"+ch+";",CHR(i))
ENDFOR 
RETURN cTXT

>Help.....
>
>I'm using adobe to create a file nys.xfdf.
>
>nys.xfdf is my pdf form with all my default data
>
>nyx.xfdf is an xml file. It looks like this:
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>I can't seem to figure it out. Does anyone know how I can get this conversion to work?
>
>Thanks,
>Deb