You may want to read
Ronald Bourret's XML namespaces FAQ.
<deployment> the element's name is "deployment"
<deployment
xmlns="http://xml.apache.org/axis/wsdd/"
xmlns:java="http://xml.apache.org/axis/wsdd/providers/java"> the element's name is "{http://xml.apache.org/axis/wsdd/}:deployment"; the "xmlns" declares the default namespace that the enclosing element belongs to (and any unprefixed element that it contains).
Your XSL matches the <deployment> and <service> it does not match
<{http://xml.apache.org/axis/wsdd/}:deployment>
or
<{http://xml.apache.org/axis/wsdd/}:service>
[ March 15, 2006: Message edited by: Peer Reynders ]