Within vWorkspace version 7.x the behaviour of the 'KerberosMode' option is reversed as to how it worked in vWorkspace 6.x versions.
KerberosMode=1 typically set "all authentications" and 0 set "initial authentication only".
In version 7.x if a client is auto-configured using a config.xml file which contains KerberosMode=1 then "Initial Auth only" is checked. If the same config.xml file is changed so that KerberosMode = 0 the "Initial Auth Only" checkbox is cleared.
This is an issue within vWorkspace version 7.x. The Defect ID is TT 2247.
Reverse the setting to achieve the required results.