Thanks for the suggestion Tomaz.
However when I test the project with Wildfly 8.2.0 (final) I see the same behavior.

web.xml

<?xml version="1.0" encoding="UTF-8"?>

<web-app version="2.5" xmlns="http://java.sun.com/xml/ns/javaee"

xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance"

xsi:schemaLocation="http://java.sun.com/xml/ns/javaee http://java.sun.com/xml/ns/javaee/web-app_2_5.xsd"

id="WebApp_ID" metadata-complete="true">

<servlet>

  <servlet-name>XmljbossRSDService</servlet-name>

  <servlet-class>qdxmljbossrsd.xmljbossRSDProvider</servlet-class>

</servlet>

<servlet-mapping>

  <servlet-name>XmljbossRSDService</servlet-name>

  <url-pattern>/XmljbossRSDService</url-pattern>

</servlet-mapping>

</web-app>

Warning message:

18:06:09,666 WARNING [org.apache.cxf.service.factory.ReflectionServiceFactoryBean] (MSC service thread 1-8) Failed to parse WSDL: javax.wsdl.WSDLException: WSDLException: faultCode

=PARSER_ERROR: Problem parsing 'WEB-INF/wsdl/FakeProvider.wsdl'.: java.io.FileNotFoundException: C:\JavaEE6\wildfly-8.2.0.Final\bin\WEB-INF\wsdl\FakeProvider.wsdl (The system cannot find the path specified)

        at com.ibm.wsdl.xml.WSDLReaderImpl.getDocument(WSDLReaderImpl.java:2198) [wsdl4j-1.6.3.jar:1.6.3]

        at com.ibm.wsdl.xml.WSDLReaderImpl.readWSDL(WSDLReaderImpl.java:2390) [wsdl4j-1.6.3.jar:1.6.3]

        at com.ibm.wsdl.xml.WSDLReaderImpl.readWSDL(WSDLReaderImpl.java:2422) [wsdl4j-1.6.3.jar:1.6.3]

        at org.apache.cxf.wsdl11.WSDLManagerImpl.loadDefinition(WSDLManagerImpl.java:263) [cxf-rt-core-2.7.13.jar:2.7.13]

        at org.apache.cxf.wsdl11.WSDLManagerImpl.getDefinition(WSDLManagerImpl.java:206) [cxf-rt-core-2.7.13.jar:2.7.13]

        at org.apache.cxf.service.factory.ReflectionServiceFactoryBean.isEmptywsdl(ReflectionServiceFactoryBean.java:2607) [cxf-rt-core-2.7.13.jar:2.7.13]

        at org.apache.cxf.service.factory.ReflectionServiceFactoryBean.isFromWsdl(ReflectionServiceFactoryBean.java:543) [cxf-rt-core-2.7.13.jar:2.7.13]

        at org.apache.cxf.service.factory.ReflectionServiceFactoryBean.initializeServiceModel(ReflectionServiceFactoryBean.java:547) [cxf-rt-core-2.7.13.jar:2.7.13]

        at org.apache.cxf.service.factory.ReflectionServiceFactoryBean.create(ReflectionServiceFactoryBean.java:265) [cxf-rt-core-2.7.13.jar:2.7.13]

        at org.apache.cxf.jaxws.support.JaxWsServiceFactoryBean.create(JaxWsServiceFactoryBean.java:215) [cxf-rt-frontend-jaxws-2.7.13.jar:2.7.13]

        at org.apache.cxf.frontend.AbstractWSDLBasedEndpointFactory.createEndpoint(AbstractWSDLBasedEndpointFactory.java:102) [cxf-rt-frontend-simple-2.7.13.jar:2.7.13]

        at org.apache.cxf.frontend.ServerFactoryBean.create(ServerFactoryBean.java:159) [cxf-rt-frontend-simple-2.7.13.jar:2.7.13]

        at org.apache.cxf.jaxws.JaxWsServerFactoryBean.create(JaxWsServerFactoryBean.java:211) [cxf-rt-frontend-jaxws-2.7.13.jar:2.7.13]

        at org.apache.cxf.jaxws.EndpointImpl.getServer(EndpointImpl.java:456) [cxf-rt-frontend-jaxws-2.7.13.jar:2.7.13]

        at org.apache.cxf.jaxws.EndpointImpl.doPublish(EndpointImpl.java:334) [cxf-rt-frontend-jaxws-2.7.13.jar:2.7.13]

        at org.jboss.wsf.stack.cxf.deployment.EndpointImpl.doPublish(EndpointImpl.java:66) [jbossws-cxf-server-4.3.2.Final.jar:4.3.2.Final]

        at org.apache.cxf.jaxws.EndpointImpl.publish(EndpointImpl.java:251) [cxf-rt-frontend-jaxws-2.7.13.jar:2.7.13]

        at org.apache.cxf.jaxws.EndpointImpl.publish(EndpointImpl.java:539) [cxf-rt-frontend-jaxws-2.7.13.jar:2.7.13]

        at org.jboss.wsf.stack.cxf.configuration.NonSpringBusHolder.configure(NonSpringBusHolder.java:118) [jbossws-cxf-server-4.3.2.Final.jar:4.3.2.Final]

        at org.jboss.wsf.stack.cxf.deployment.aspect.BusDeploymentAspect.startDeploymentBus(BusDeploymentAspect.java:136) [jbossws-cxf-server-4.3.2.Final.jar:4.3.2.Final]

        at org.jboss.wsf.stack.cxf.deployment.aspect.BusDeploymentAspect.start(BusDeploymentAspect.java:68) [jbossws-cxf-server-4.3.2.Final.jar:4.3.2.Final]

        at org.jboss.as.webservices.deployers.AspectDeploymentProcessor.deploy(AspectDeploymentProcessor.java:75) [wildfly-webservices-server-integration-8.2.0.Final.jar:8.2.0.Final]

        at org.jboss.as.server.deployment.DeploymentUnitPhaseService.start(DeploymentUnitPhaseService.java:159)

        at org.jboss.msc.service.ServiceControllerImpl$StartTask.startService(ServiceControllerImpl.java:1948)

        at org.jboss.msc.service.ServiceControllerImpl$StartTask.run(ServiceControllerImpl.java:1881)

        at java.util.concurrent.ThreadPoolExecutor.runWorker(ThreadPoolExecutor.java:1145) [rt.jar:1.7.0_40]

        at java.util.concurrent.ThreadPoolExecutor$Worker.run(ThreadPoolExecutor.java:615) [rt.jar:1.7.0_40]

.........