Bcp Fails When The Called SP Has An Update Statement

This is a very weird problem. SQL 2000. A bcp calls an SP:

bcp "exec MyDB.dbo.usp_DF_NA_Analytics_OOW" queryout SomeFile.dat -T -c -t "|" -S "MySvrMyInst"

SP code:
----------------------------
CREATE PROCEDURE dbo.usp_DF_NA_Analytics_OOW AS
BEGIN
SET NOCOUNT ON

--Declare Variables
DECLARE @CURRENTDATE DATETIME
DECLARE @BEGINTIME DATETIME
declare @feedname varchar(50)
set @feedname = 'DF_NA_Analytics_OOW'
SET @CURRENTDATE = CURRENT_TIMESTAMP

-- ensure there is a row for us - create 1 if it doesn't exist
exec usp_datafeed_timestamp_init @feedname

SET @BEGINTIME = (
SELECT LastRunTime
FROM NewAccounts.dbo.DataFeed_Timestamp
WHERE TaskName = @feedname
)

select oowReason.OOWTransaction_id,
oowReason.Position,
oowReason.ReasonCode,
oowTx.UpdateDateTime
from OOWTransaction oowTx (nolock)
join OOWReason oowReason (nolock)
on oowReason.OOWTransaction_id = oowTx.OOWTransaction_id
WHERE oowTx.UpdateDateTime >= @BEGINTIME and oowTx.UpdateDateTime < @CURRENTDATE
ORDER BY oowReason.OOWTransaction_id, Position

-- update the timestamp
exec usp_UPD @feedname, @currentdate
end
------------------------------


ALTER procedure dbo.usp_UPD (@feedname varchar(50), @lastruntime datetime)
as
begin
set nocount on


if not exists (select * from dbo.datafeed_timestamp where lower(taskname) = lower(@feedname))
INSERT INTO Datafeed_Timestamp(TaskName, LastRunTime) VALUES(@feedname, @lastruntime )
else
update Datafeed_Timestamp
set LastRunTime = @lastruntime
where TaskName = @feedname
end
----------------------------------------

The above bcp fails consistently unless the "exec usp_UPD" is completely removed.
Even if I substitute it with the update stmt instead of the SP call, it still fails.

I move the usp_UPD call and move it above the select making the select as the last command in the SP -- still fails.
Removed Order by -- still fails.

The weird thing is -- several other SPs that follow the same exact format (only select query is different) - they all succeed everytime.

This above bcp fails everytime unless the usp_UPD is fully removed.
I have tried putting the result dataset into a table variable and select it in the end -- still fails. several other attempt to workaround - fails -- by fails I mean "0 rows returned" from bcp -- when the UPD is removed, it returns the correct dataset. Otherwise always returns 0 rows.

Outside bcp, if I simply execute the SP from QA, it returns the correct dataset everytime. From bcp, it just doesn't like it. It returns 0 rows everytime, but does the UPD task -- the value does get updated adter execution.

Any thoughts/ideas? This thing is driving me NUTS


Thanks,
Rajesh