I've used my nook this way. I also have XP and Nook 1.3. From the windows explorer "My Computer" window, the Nook is listed in the "Devices with Removable Storage" section. I right-click on nook icon there and select 'Eject'. The windows icon becomes generic (no longer says 'nook' but is still listed as a removable drive) and the Nook screen flashes and goes to the last page showing before I plugged it in. I can then use it as it charges.
However, when I try to use the Calibre program to eject it, it completely disappears from the "My Computer" window and the Nook screen retains the "if you want to use your nook" screen. So I don't do it that way.
How are you attempting to eject the Nook?
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