Yes Finally. Writing Arabic in Flash and using XML!! Weheeeeeee.

I’m excited about it because this was my concern for years and years and yesterday taraaa! I found the extension that worked perfectly!

The main feature of this extension is the ability to embed fonts and the ability to have multiple lines.

its made for Flash 8 and works for ActionScript2. I have flash CS3 and it worked fine too (>.>; since I still use ActionScript *coughs coughts*) anyways the extension is called Flaraby3 there is a lite version for free and a paid version for 30$.

So far the Lite version works perfectly for me and you can download it and see the video tutorial from here.

http://www.arabicode.com/flaraby/flash_arabic_support.php#license

Hope this will help you.
Good Luck!