Thanks, Freddie, it works like a charm! Every once in awhile one of the eight processors will get to 90%, but it's definitely load balancing on all cores and working very smoothly.

On another note, I again tested turning my video settings to maximum on all clients. Once again I got massive lag. However, by turning the settings to "good" (about 75%) and still having maximum view distance, there is hardly any lag with 3 toons in Dalaran and 2 toons in Shat (haven't tried all 5 in Dalaran yet). I think it could be my video card just not being able to handle 5x high settings... the CPU looks fine, RAM looks fine, but the FPS drops below 5 when trying to move around in Dalaran with 5 accounts running.

Thanks again to everyone for their help. Slowly but surely everything is getting tweaked. The only outstanding issue is whether to disable the recovery and why there is such a long shut-down time.