IMAP store cannot be created

We are using Outlook 2003. When I try to add an IMAP account I receive the
following message: "The IMAP store could not be created. File access is
denied. You do not have permission to access the file C:\Documents and
Settings\%username%\Local Settings\Application
Data\Microsoft\Outlook\Outlookxxx-0000000x.pst". I am part of the
Administrators group. I tested this on three workstations and I get the same
thing. Using Outlook 2002 works fine. If I try to add an HTTP account I get
the same thing. Any ideas ?

Thank you,
Ovi