Hi,
I never made a switch between RHE and FC. I did however tried similar things:
I tried to upgrade a RH9 box to FC1 through apt-get and it totally screwed up. I won't be trying a dist upgrade again until I see many confirmations it works (I have no box on which I can test this).
I upgraded many many times RedHat distros at home and at work. Ex 7.2->7.3->9.0->FC1, even 7.0->9.0 and it worked pretty well. I've encountered a few problems that were documented in RH's bugzilla and could work around them easily.
The installation is nothing but a massive RPM update. So if FC2 has newer stuff than RHE3 (I assume it does, but I only know FC2), my guess is it will work. However, I highly recommend to make a test first, because screwing up a box that's all setup is a pain. Make a quick and dirty install of RHE, then try to upgrade it to FC2. See if the installer likes it.
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