SiteMinder R12.5 install fails

SiteMinder R12.5 Install fails on Windows using any drive other than C:\.
The CA_SiteMinder_Policy_Server_installLog.log indicates FATAL ERROR with XPSImport. In short, the installer fails when the Policy Store initialization process starts. One way to resolve this is to install the policy server without selecting the "initialize" option for the policy store. Once the install is done, you can manually initialize the ldap instance with the following steps (Oracle/Sun DSEE in this example):

smldapsetup.exe ldgen -hHOST -pPORT -d"cn=directory manager" -wPASSWORD -rdc=smps,dc=com -fdseeschema.ldif

smldapsetup.exe ldmod -hHOST -pPORT -d"cn=directory manager" -wPASSWORD -rdc=smps,dc=com -fdseeschema.ldif

smldapsetup.exe ldmod -hHOST -pPORT -d"cn=directory manager" -wPASSWORD -rdc=smps,dc=com -fDRIVE:\CA\siteminder\xps\db\OracleDirectoryServer.ldif

 DRIVE:\CA\siteminder\xps\dd\XPSDDInstall SmMaster.xdd
 DRIVE:\CA\siteminder\db>XPSImport smpolicy.xml -npass
 DRIVE:\CA\siteminder\db>XPSImport smpolicy-secure.xml -npass