Outlook Clients asked to 'Connect' or 'Work Offline' after..

I have upgraded our SBS Server to a new box. After I added the client
computers to the domain on the new box, Outlook 2003 is finding the users'
old e-mail through their profiles that were migrated from the previous box.
However, the old e-mail can only be viewed when Outlook is offfline. When the
client is 'online', it sees the new e-mail on the exchange server but the old
e-mail is not viewable. I have had to archive the old e-mail to a personal
folder in order for the old e-mail to be viewed while Outlook is 'Online'.

Which brings me to another problem, instead of Outlook being 'Connected' in
the bottom right hand corner of the client, it says 'Online'. Some of the
Junk mail funtionality has been lost and the 'Cached Exchange Mode' is no
longer listed under 'File' on the menu bar.

FYI, when installing the domain on the new box, it was changed from a
domain.com to a domain.local. I believe their is a problem with the existing
..ost files in the clients local settings folders but I have no idea how to
get back to being 'Connected' versues 'Online'.

Everytime a client logons to the Exchange Server via Outlook, it prompts and
asks to 'connect' or 'Work Offline'.

Any ideas?