Assuming that the string you want for output is

xmlns:schemaLocation='http://www.test.com/bta $pathPS_ReportRequest.xsd'

(why the space after bta?)

then you can use

<xsl:attribute 
name="{concat('xmlns:schemaLocation=&apos;http://www.test.com/bta 
','$path',
'PS_ReportRequest.xsd&apos;')}"/>

'$path' ensures that you will literally get $path as the output. If you 
want the value of a variable there, use $path (without the quotation 
marks).

If you want the value of $path to be inserted and the space after bta to 
not be present, use

<xsl:attribute 
name="{concat('xmlns:schemaLocation=&apos;http://www.test.com/bta',$path,
'PS_ReportRequest.xsd&apos;')}"/>

Jay Bryant
Bryant Communication Services
(presently consulting at Synergistic Solution Technologies)