I created an html signature in Word 2003 and in Frontpage 2003. Here's what I've done to make it work:
1. Changed format to html in Outlook
2. Checked - Use MS Word to Edit
The signature works if you're sending, replying, and forwarding.
The problem is: if you open a PDF (or any file) and send from Adobe Reader, you have to manually insert the signature and once its inserted, the logo is blank - the text appears.
On other workstations, the logo appears, but there's an empty box on top of the picture.
At first I was getting and "Active X Error" - I was able to fix that part - the only thing left now is the disappearing jpeg.