Version: Microsoft Office Outlook 2003 (11.6359.6360) SP1

Physical setup:
Computer hooked up to a working telephone where the Computer telephone cord
replaces the telephone receiver cord. Telephone handset is in the cradle but
no longer connected. Headphones and microphone are connected to the computer.

Step 1: Open Outlook
Step 2: Open Contacts
Step 3: Click on a contact box to select it
Step 4: On the Menu bar select "Actions"
Step 5: On the drop down menu select "Call Contact"
Step 6: Select a telephone number such as "Home"
Step 7: "New Call" box appears, I visually verify the telephone number
Step 8: Click on the button marked "Start Call"
Step 9: The "Call status" box appears and instructs me to lift the receiver
and click talk.  I do this and I hear no dial tone, no dialing, I hear
nothing. I see nothing. Nothing has happened.
Step 10: Disconnect computer from telephone and re-check for dial tone.  
Dial tone is present.

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Gringras