Code:
[loginserver]
host=eqemulator.net:5998
[LoginServer]
Host=xp-smitchell:7308
Host1=
That bit in red should not be there. It typically gets put there by the client if you have trailing spaces at the end of the [loginserver] or host=eqemulator.net:5998 lines. Open your eqhost.txt in notepad, delete all but the first two lines, then move the cursor to each of the first two lines and press the End key and backspace to delete any trailing spaces.