the connection to MS Exchange is unavailable SBS2008 Outlook 2010

I am attempting to setup a new user on a SBS2008 server. Sadly there is no one available to help in the setup. I do have access to one laptop, Paul's,  where this setup is working. So info is available. The laptop that I am trying to setup the email on is running Windows 7 same as 'Paul's' laptop. We are both access the internet and SBS2008 via wireless connections. the server is on premise. I am able to connect with no problem via webmail at

I opened MAIL in CP, created a new profile using the same name first initial, last name. Then clicked that the bottom radio button that I would enter the detail manually. Then selected exchange radio button. then it came up asking for the following info. For security concerns, I am not entering any info that might compromise my employers security.

General Tab
Server: SBS2008.domainname.local
Use cached exchange mode
Username: first initial last name [no @domainname]

General Tab:
Exchange Account
first initial last name
When starting:
Automatically detect connection state

Advanced Tab:
No Changes made

Security Tab:
Encrypt data between MS Outlook and MS Exchange was checked

Connection Tab:
Connect using my LAN [default setting]
Outlook Anywhere , not checked, but on Paul's it is and has a ton of info such as:

Connect is checked
Exchange Proxy:
connect using SSL only is checked
Only connect to proxy servers:
slow networks is checked
Basic Authentication is selected.

When I click NEXT, a new window opens:

Mail Application
Connecting to first initial last name

Looking for credential tiles....

and it never connects.

All help is appreciated.
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please fill the information Outlook anywhere which is mentioned. then try

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