It is normal to see that account disabled.
As its properties state, it is used for the KDC service, which
is the heart of Kerberos, the default auth technology in AD.
You are posting into the W2k newsgroups, so I assume your DCs are
W2k. If your domain is W2k3 based, then there is utility to reset the
two default GPOs back to their as first set up state
dcgpofix /?
It might be worth considering, if you have just inherited a potentially
mismanaged AD to get to a know state. In general I recommend that
people define GPOs and make their policy adjustments in them rather
than using the two shipped default GPOs.
IIRC there are now KB articles outlining resetting of these for a W2k.
You could first copy the existing to new GPOs (using GPMC on an
XP or W2k3), link these at domain and DC OU with higher priority
than the default GPOs, then revert the defaults. Then, using the report
capability after getting reports for the copied and the reverted you
could do simple text/xml compare to see what they had changed.
etc.
Roger