C:\Users\Terry>notepad %localappdata%
"Access denied"

"Alongside the EXE" is not fine.  I only knew to look in C:/Windows because I have using DOS/Windoes since the early 80s (and there is still much that I do not know, like 'icacls'), and I believe there was a mention somewhere in the pydev py.exe discussion.  I still found it surprising since installed programs are generally not put there the way they once were.  If py.exe is always in that directory for all Windows versions we support, we should just say 'in C:/windows', but my impression is that this may not always be true.

Doc-only changes can and should be backported to 2.7 and 3.4, which do support XP.