Installing Win 7 on Boot Camp with XP currently on VMware

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I have a late 2008 Mac Book with upgraded 4GB RAM. And, have Win XP running through VMware, the primary use of XP is for Chief Architect, a graphics intensive design program that periodically crashes because VMware doesn't support it. Solution from Chief Architect forum is to run through Boot Camp. But I ran into a problem... Lion doesn't support XP.

So, I bought a shinny new retail copy of Win 7 and want to install it on Boot Camp. How do I do this and still retain my current installation of XP. I've heard I can migrate the VMware & XP install to an external harddrive, is this possible? If so How?
 

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