Local XEN host server running Suse11sp2 and remote XEN host running

Using the Virtual Machine Manager I want to connect to the remote XEN host
and monitor the VMs.
I select "File" ---> "Add Connection" ---> "Xen, Connect to remote host,
SSH, root, Server_name, connect"
I then receive an error "Unable to open a connection to the libvirt
management daemon.

The error suggests that "libvirtd" is not running, but this is running on
both servers.

Further details state
"Cannot rec data: No protocol specified"
"Error: Can't open display 0:0"
Host key verification failed.
Connection reset by peer"

There is no firewalling between the servers and I can SSH between the

I am able to "Add connection" from remote to local server.