On my system, I sometimes lose all audio from the 0404.
I do a system restore to before that happened, and all is well.
Are you using the most current drivers?
Verify that you are using ASIO. It doesn't seem to like anything else.
Double check your latency. If it is too low, the symptoms you describe can appear.
Do you turn your computer off, or do you let it go to sleep? The XP Sleep mode sucks, and a cold start can often remedy problems.
That's all I can think of for now.