Read this. Tell us what you don't understand:
http://www.slipstick.com/contacts/oloabcat.htm

Signature
Russ Valentine
[MVP-Outlook]
>I organized my contacts into folders for use in mail merges, but how do I
>get
> all of my folders into one folder? I seem to be cofused about folders vs.
> categories and the tutorials don't help me. Any guidance appreciated.