WordPress MU

Hope this makes sense:

wordpress mu installed on http://www.example.com
wordpress mu blogs in http://www.example.com/example01
wordpress mu blogs in http://www.example.com/example02
regular wordpress installed on http://www.example.com/example67

How can this be accomplished without conflicts?

If I remove .htaccess from http://www.example.com then I can view example 67 but can't view example01 or example02

TIA

Anyone know if this is possible or have experienced this before? Is there another way to accomplish this? If I missed a post somewhere, please point me in the right direction.