What are the contents of your META-INF/application.xml file? Does that file reference the spring-2.0.7.jar file?
You were right, spring-2.0.7.jar was not referenced in application.xml. Now it is and I don't have this ClassNotFoundException.
I keep getting strange Spring internal errors like "LangNamespaceHandler does not implement NamespaceHandler interface" even though it does. But I think this is a different story.
Thanks for your help.