I have a user who has been using her TREO for a while with GMS. She got a
new phone and is giving her old one to another user. What is the best way to
setup the new one and transfer the old one to the new user.

I have a theory:

1. Delete the device in the GMS web interface.
2. Uninstall Intellisync on the old device.
3. Install the s/w on the new device with her info.
4. Install the s/w on the old device with the new user info.

Am I right in doing this?