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There are a couple of places that you need to check/change.
ESM, Admin Groups, <your admin group>, Servers, <your server>, protocols, http. Right click on "Exchange Virtual Server" and choose Properties. Compression is on the second tab. Change it to none.
Next...
Clear out the contents of the following directory:
C:\windows\IIS Temporary Compressed Files
Don't forget to clear out the Temporary Internet Files on the client before trying it again.
Simon.