Heyduke, my wife and I both read your wife's entertaining thread about learning to ride. My wife is 5' too so your missus is an inspiration to her. How much did you have to lower that bike so she could flat foot it like I'm seeing in the pictures?
At first, we slid the forks up about an inch, and the rear preload all the way out (no easy way to lower the XT at the rear). We also cut the seat foam down by about 1 1/2 inches.
As she became more confident, we added rear preload and slid the forks back down in the triple clamps. She is now comfortable with it at stock height, but with the seat cut down. She can't exactly "flat foot" it like in the pics above, but close.
After a couple of years of ALOT of off road riding, she is out-riding the bike, wishing for better suspension and more power. Right now we're trying to figure out what to do... find a different bike to make work for her, or spend alot on this one and try to creat the "ultimate" XT225. Too bad there aren't any decent options for a 5'0" person out there. That being said, the XT225 is a great bike- she's just asking too much of it now.