You can use the XREF Reload option to update the xref whenever you want to ensure that the most current version is being used. Updating also occurs when you open or plot your drawing: AutoCAD LT reloads each xref so that it reflects the latest version of the referenced drawing.
Whenever you change and save an externally referenced drawing in a network environment, other people can access your changes immediately by reloading the xref. If you change the location or directory of an xref drawing, however, be sure to use the XREF Path option to tell AutoCAD LT where to find the file.
Like a block reference, an xref appears in the current drawing as a single object. However, you cannot explode an xref without binding it first. Also, if the xref contains any variable block attributes, AutoCAD LT ignores them.