>File 'cursortoxml.prg' does not exist.

I have seen this happen with other new functions when you attempt to run code compiled in a previous VFP version, even if you are running it under the present version. Let's say you have a PRG which contains a new-to VFP7 function, compiled in VFP6. If you run it under VFP7 you will get the error. I would say maybe you need to rebuild the exe in VFP7 with the Recompile All option, or if the function is in a PRG not included in your project, recompile it separately.

Jim