Kulegamr, you have completly missed the point. We are not trying to load a movie when we get to Frame 2, We are trying to load a movie and make that loaded movie go to frame 2, without changing the loaded movie.
Also I don't appreciate bitchy private messages that claim you to be right. It wasn't what he asked for, because you misunderstood. I didn't need to try it 'your way' as you put it, because I can see from concept that your way is not even what was required.

rvktam:
Sorry about that!!! lol.

Ok, i've noticed that you can't use the movieclip.onLoad property unless you apply the code on the movieclip itself. I would suggest that, although it's possible to load this into a level, you can't keep the code to a minimum so I would suggest creating a movieclip (inside Kungfoo.fla) to load your test.swf into.

Simply call it whatever you want, in this case 'movieclip'.

And in Kungfoo on the main timeline, use:

loadMovie("test.swf", "_root.movieclip");

Now, right-click on your movieclip inside Kungfoo and put these actions on it:

onClipEvent (load) {
tellTarget (_root.movieclip) {
gotoAndStop(2);
}
}

That WILL work, I've tested it!!
It you want to play from frame 2, then replace gotoAndStop with gotoAndPlay.

Here is the FLA file that *DOES* work.