Exchange 2007 outlook anyware clients continuous password promting...why?

Exchange 2007 sp1
Outlook anywhere enabled, wild card cert installed, basic authentication
OWA works perfectly

When trying to connect using outlook anywhere in OL 2007 or OL 2003 clients are prompted for authentication credientials continously and cannot sucessfully authenticate.

outlook setup usin fqdn, ssl, and basic authenitication.

get-outlookanywhere results:

ServerName                 : SERVER
SSLOffloading              : False
ExternalHostname           : server.domain.com
ClientAuthenticationMethod : Basic
IISAuthenticationMethods   : {Basic}
MetabasePath               : IIS://server.domain.com/W3SVC/1/ROOT/Rpc
Path                       : C:\WINDOWS\System32\RpcProxy
Server                     : SERVER
AdminDisplayName           :
ExchangeVersion            : 0.1 (8.0.535.0)
Name                       : Rpc (Default Web Site)
DistinguishedName          : CN=Rpc (Default Web Site),CN=HTTP,CN=Protocols,CN=SERVER,CN=Servers,CN=Exchange Administrativ
                             e Group (FYDIBOHF23SPDLT),CN=Administrative Groups,CN=domain,CN=Microsoft Exchange,CN=Serv
                             ices,CN=Configuration,DC=domain,DC=ca
Identity                   : SERVER\Rpc (Default Web Site)
Guid                       : 9f0b5ae8-aef0-4edc-a5d9-a7e911d23f81
ObjectCategory             : domain.com/Configuration/Schema/ms-Exch-Rpc-Http-Virtual-Directory
ObjectClass                : {top, msExchVirtualDirectory, msExchRpcHttpVirtualDirectory}
WhenChanged                : 6/20/2008 10:24:27 AM
WhenCreated                : 5/15/2008 6:09:29 AM
OriginatingServer          : DC.domain.com.
IsValid                    : True

Any ideas...am i missing something?