Hi cwtrent and welcome to TSF !
Don't know about XP but on Windows Vista and Server 2003 that folder contains error logs related to your printer. If there's a big spooler.xml file in it then there's some problem with your printer. Uninstall it, restart the computer and reinstall the latest drivers. You can open the splcrash.log file (should be a plain .txt file) to find out which dll caused the failure. You can delete the spooler.xml file in safe mode (repeatedly press F8 at startup).
More information in this white paper from Microsoft :