I've been working with Miocrosoft support to solve this - apparently there
are a bunch of people with this problem and it's somehow related to Easy
Transfer.  They weren't able to help, but I experimented and GOOD NEWS- I
fixed the problem.

Heres what i did.
1. Before doing anything, first make a backup copy of your .pst file (mine
was called outlook.pst)

2. I created a new Outlook profile (see instructions below).  The new
profile automatically generated a new .pst file - in my case it was called
outlook1.pst.

3. I started Outlook with the new profile and changed the data file to the
original outlook.pst.
From the main menu select Tools/Account Settings.  
Select the Data Files tab.
Click the Add button.
Select Office Outlook Personal Folder (.pst) and click OK.
Find your original outlook .pst file and select it and click OK.
Back on the Account settings screen, highlight the original outlook pst file
and click "Set as Default"
Highlight the other outlook folder and click Remove

4. All I needed to do at this point was re-create my other email accounts (I
have 6 email addresses in outlook)

I hope that works for you too.
-Jim

Creating a new Outlook profile:
1. Click the Start Button, and then click Control Panel.  
2. Click Switch to Classic View, and then double-click Mail.  
3. In the Mail Setup dialog box, click Show Profiles.  
4. On the General tab, click Prompt for a profile to be used, and then click
Add.  
5. In the Profile Name box, type a descriptive name for the new e-mail
profile, and then click OK.  
6. In the E-mail Accounts dialog box, click Add a new e-mail account, and
then click Next.  
7. Click the appropriate server type for your new e-mail account, and then
click Next.  
8. Type your account information in the required boxes, and then click Next.
9. Click Finish, and then click OK.

Your assertion then is that you have in fact added the Outlook Address Book
Service to your profile, and yet the option to enable your Contacts Folder
as an email address book remains grayed out? If so, this is another bug.
Personally, I never rely on WET. I always create a new profile from scratch.