First of, deactivate Windows 7 Ultimate from the computer thats approaching EOL:

Open a run window (Windows key+R), type slmgr.vbs -dli and press Enter to display the licence information.

To release the product key for use elsewhere, use slmgr.vbs -upk. However, if you have a problem with the UPK option, look at this Vista page http://support.microsoft.com/kb/947241
If that does not, just reinstall the Windows XP license that was previously on the machine. You will need to reactivate Windows 7 Ultimate by telephone on the new machine.

To backup your personal files and settings, use Windows Easy Transfer. Windows 7′s System Image capability backs up the entire computer. You also have the option of creating a System Image of the current Windows 7 Ultimate installation and just restore it on the new computer running Windows 7 Home Premium. But, I would recommend when you get the new computer that has Windows 7 Home Premium that you do a Windows Anytime Upgrade instead.

Click Start, type Anytime Upgrade, follow the onscreen wizard, enter the Windows 7 Ultimate key when requested, click and restart your computer when prompted. Within 10 mins, you should be upgraded to Windows 7 Ultimate and your files and settings preserved.

To reactivate:

Activate Windows 7 manually:
1. Click Start, and in the Search box type : slui.exe 4

2. Press ENTER on your Keyboard

3. Select your Country.
4. Select the Phone Activation option, and hold on for a real person.

After you run the “slmgr.vbs –upk” command on a Windows Vista-based computer, you cannot see the licensing information, and the Windows Vista activation status is lost
View products that this article applies to.
System Tip
This article applies to a different version of Windows than the one you are using. Content in this article may not be relevant to you.Visit the Windows 7 Solution Center

On This PageSYMPTOMS
CAUSE
RESOLUTION
STATUS
MORE INFORMATION
Steps to reproduce the problem
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SYMPTOMSAfter you run the slmgr.vbs –upk command on a Windows Vista-based computer, you…After you run the slmgr.vbs –upk command on a Windows Vista-based computer, you cannot see the licensing information as expected. Additionally, the Windows Vista activation status is lost.

For example, after you run the slmgr.vbs –upk command, you may decide to run the slmgr.vbs – dli command or the slmgr.vbs – dlv command to display the Windows Vista licensing information. However, no result is returned in this situation. Additionally, you may receive the following error message when you check the Windows activation information:

This copy of Windows is not activated. Click here to activate Windows now.
Finally, when you restart the computer, you may be prompted to insert a product key. In this situation, Windows Vista may enter reduced functionality mode.
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CAUSEThis problem occurs because the slmgr.vbs –upk command clears all product keys t…This problem occurs because the slmgr.vbs –upk command clears all product keys that are present on the computer. For example, these may include the Multiple Activation Key (MAK) and the Key Management Service (KMS) key.
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RESOLUTIONTo resolve this problem, use one of the following methods.Method 1 In the Start…To resolve this problem, use one of the following methods.

Method 1
In the Start Search box, type command prompt, right-click Command Prompt, and then click Run as administrator.
In the Administrator: Command Prompt window, type a command that resembles the following, and then press ENTER:
cscript c:\windows\system32\slmgr.vbs -ipk {ProductKey}
Note If your organization uses a KMS key instead of a MAK key, use the generic KMS key that is provided in the Pid.txt file. This file is located in the \sources folder on the Windows Vista installation DVD.
Type a command that resembles the following, and then press ENTER:
cscript c:\windows\system32\slmgr.vbs -ato
Method 2
Click the error message that is mentioned in the “Symptoms” section.
Type the product key, and then follow the instructions to activate the product key.
Method 3
Restart the computer.
Log on to the computer. The Windows Activation window will appear.
Type the product key, and then follow the instructions to activate the product key.
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STATUSThis behavior is by design.This behavior is by design.
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MORE INFORMATIONSteps to reproduce the problem In the Start Search box, type command prompt, rig…Steps to reproduce the problem
In the Start Search box, type command prompt, right-click Command Prompt, and then click Run as administrator.
In the Administrator: Command Prompt window, type a command that resembles the following, and then press ENTER:
cscript c:\windows\system32\slmgr.vbs -upk
Type a command that resembles the following, and then press ENTER:
cscript c:\windows\system32\slmgr.vbs -dli
The script generates the following text:
Microsoft (R) Windows Script Host Version 5.7
Copyright (C) Microsoft Corporation. All rights reserved.

However, if you do not use the slmgr.vbs –upk command, the slmgr.vbs -dli command generates text that resembles the following:
Microsoft (R) Windows Script Host Version 5.7
Copyright (C) Microsoft Corporation. All rights reserved.

Name: Windows(TM) Vista, BusinessN edition
Description: Windows Operating System – Vista, VOLUME_KMSCLIENT channel
Partial Product Key: VMQBT
License Status: Initial grace period
Time remaining: 43187 minute(s) (29 day(s))

Key Management Service client information
Client Machine ID (CMID):
DNS auto-discovery: KMS name not available
KMS machine extended PID:
Activation interval: 120 minutes
Renewal interval: 10080 minutes

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