Outlook 2010 with Exchange 2010 address book

Enable Cache mode for Outlook. It seems you are still using Public folder for OAB distribution as you have Outlook 2003 users. Switch to web-based. It will be faster.

Cache mode is enabled on all clients.

What is your OAB distribution method?

web based.

Run this command from EMS
Get-OfflineAddressBook | fl

Post the result...

When I download my address book  I receive error message operation failed an abject can not be found.     Not sure if that helps.

that's why i want to know the output for that PS command. I guess you are using PF based distribution for OAB and your mailbox db's are not pointing to any PF.

RunspaceId                       : 5b223f7e-7c38-46dd-97a6-a340580aef11
Server                           : SERVER1
AddressLists                     : {\Default Global Address List}
Versions                         : {Version4}
IsDefault                        : True
PublicFolderDatabase             : Public Folder Database 2054595309
PublicFolderDistributionEnabled  : False
GlobalWebDistributionEnabled     : False
WebDistributionEnabled           : True
LastTouchedTime                  : 7/2/2013 9:09:28 AM
LastNumberOfRecords              : 36
MaxBinaryPropertySize            : 32768
MaxMultivaluedBinaryPropertySize : 65536
MaxStringPropertySize            : 3400
MaxMultivaluedStringPropertySize : 65536
ConfiguredAttributes             : {OfficeLocation, ANR, ProxyAddresses, ANR, PhoneticGivenName, ANR, GivenName, ANR, P
                                   honeticSurname, ANR, Surname, ANR, Account, ANR, PhoneticDisplayName, ANR, DisplayNa
                                   meUnicode, ANR, ExternalMemberCount, Value, TotalMemberCount, Value, ModerationEnabl
                                   ed, Value, DelivContLength, Value, MailTipTranslations, Value, ObjectGuid, Value, Is
                                   Organizational, Value...}
DiffRetentionPeriod              : 30
Schedule                         : {Sun.8:00 AM-Sun.8:15 AM, Mon.8:00 AM-Mon.8:15 AM, Tue.8:00 AM-Tue.8:15 AM, Wed.8:00
                                    AM-Wed.8:15 AM, Thu.8:00 AM-Thu.8:15 AM, Fri.8:00 AM-Fri.8:15 AM, Sat.8:00 AM-Sat.8
                                   :15 AM}
VirtualDirectories               : {SERVER1\OAB (Default Web Site)}
ExchangeVersion                  : 0.10 (14.0.100.0)
AdminDisplayName                 :
Name                             : Default Offline Address Book
DistinguishedName                : CN=Default Offline Address Book,CN=Offline Address Lists,CN=Address Lists Container,
                                   CN=JAMESCONTROLS,CN=Microsoft Exchange,CN=Services,CN=Configuration,DC=Jamescontrols
                                   ,DC=lan
Identity                         : \Default Offline Address Book
Guid                             : 4413eae3-5459-4849-bee6-f0d9791ca14b
ObjectCategory                   : Jamescontrols.lan/Configuration/Schema/ms-Exch-OAB
ObjectClass                      : {top, msExchOAB}
WhenChanged                      : 7/2/2013 11:56:57 AM
WhenCreated                      : 2/13/2013 4:36:00 PM
WhenChangedUTC                   : 7/2/2013 3:56:57 PM
WhenCreatedUTC                   : 2/13/2013 9:36:00 PM
OrganizationId                   :
OriginatingServer                : SERVER.Jamescontrols.lan
IsValid                          : True

I can see web based is used, however, i cannot understand how your Outlook 2003 users are working. I guess Outlook 2003 are running without cache mode. OWA doesn't uses OAB.

Enable diagnostic logging to expert level and check the errors
set-eventloglevel -Identity "MSExchangeSA\OAL Generator" -Level EXPERT -verbose

Also i suggest you to reconfigure user profile and check how it works.

It is happening on every user running outlook 2010.   I will enable diagnostic logging and go from there.
Thanks
Jon

Diagnostic logging didn't not show anything.  This issue only happens with outlook 2010 users.  Works fine accessing via OWA or outlook 2003.  Any ideas?
Thanks in advance

Sorry couldn't check your question back. Okay what was the permission issue, can you share it and how you fixed it.

I gave Authenticated User access to OAB folder.  Not sure why it was only happening to outlook 2010 users, but that resolved my issue.
Thanks for all the help.
Jon

Strange to me also. Good to know, it is resolved and thanks for sharing the solution.

That is what worked to resolve the issue