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How should I format an external Seagate 1.5TB HD to work on Windows 7 and Mac OS?

I have a friend that is going to use a Mac Mini (Snow Leopard) and a Windows 7 laptop with an external 1.5TB Seagate HD. What format should the HD be in order to be read by both machines?

Is it possible to format it in way that will also make it readable by Windows XP?