After creating a new Analytic Account (master tracking) and then a new report for the main host (domain.com) I then had to add a new website profile for each additional site on the network I wanted to track HOWEVER there is a catch.
From your Master Trackin account click Analytics Settings and then +Add new profile
Then select “Add a Profile for an existing domain”
Select the Domain of your main WordPress MultiBlog install and then type a profile name to associate your next site on the network (domain2.com)
Set the time and area as needed and click Continue
This creates a new site profile however it should be yellow flagged
CLICK EDIT
Notice how in:
Main Website Profile Information
it still says the main host name (domain.com)
click edit (to the right on the grey bar)
and then change the website URL to the appropriate site name (domain2.com)
Now check the tracking status and make sure it is installed.
Now you should be able to track your wordpress multiblogs with one Analytics account.