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GAL on Outlook 2007 with Exchange 2010 shows local location

DDI4U
DDI4U asked
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Last Modified: 2012-06-21
I recently moved all users to a new domain and new Exchange server (Exchange 2010). All of the clients are using Outlook 2007. Currently, all but one client are not displaying the correct contacts in the Global Address List. If I switch to online versus cached mode it shows the proper list. If I go to:

Tools > Address Book > Tools > Options and select the Global Address List and select properties it shows:

Microsoft Exchange Address Book Provider - The current server is:
C:\Users\<username>\AppData\Local\Microsoft\Outlook\

And it should be: SERVERNAME.DOMAIN.local

I have looked into a way to change this and tried adding the "DS Server" string in the registry but it did not make a difference. I need to resolve this ASAP so any help would be greatly appreciated.

Windows Server 2008R2
Exchange 2010

Clients:
Windows 7 x64
Office 2007
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