Hi Cody!

You are correct. You can synchronize your address book to your Outlook Express but
not to your Outlook application. You will need to complete the following steps to
properly update your Outlook application:
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Add your hotmail account to Outlook Express

Open up your Address Book, go to Tools> Synchronize Now (This initiates a two-way
synchronziation between your hotmail address book and your Outlook Express
address book.) Note:  contacts in sub-folders will not synchronize to Outlook Express.

You will need to check your  address book(s) for duplicate entries, and delete as
necessary.

Then complete the following to move the addresses from Outlook Express to Outlook:
In Outlook, you can use the Import and Export Wizard as the interface for Address
Book conversion. Use the following steps to convert a Windows Address Book (WAB)
file:

1. Start Outlook.

2. On the File menu, click "Import and Export".

3. Click "Import Internet Mail and Addresses", and then click Next.

4. Click Outlook Express 4.x, 5 from the list.

5. Select any combination of the Mail or Addresses from the items
  listed.NOTE: With the exception of rules conversion from Outlook
  Express, the steps to convert addresses are the same.

6. Click Next.

7. Select a destination for the imported address data.

8. Select the appropriate duplicate items option, and then click Finish.

Have a good day!

--------------------

William R. Tatum III - MCSE, MCSA
Partner Technical Lead - Outlook/Office Setup
Microsoft Tecnnical Support
for Platforms and Business Applications