Distribution List in a Public Contacts Folder is not active linked

Hi all,
We are running MS office 2003 and an Exchange Server 2003. We have problem
creating a useable Distribution List in a Public Contacts Folders.

From within Outlook 2003, our users tried to create a new DL in one of our
Contacts Public Folders, give it a name and use Add New to add new member to
the DL (who are all new contacts and not in any of one of our GAL or contacts
folder). They fill the name and the email address and click OK. But when we
try to send email to the DL (by right click on the DL name and then New
Message to Contact), the message To… field shows the name of the DL, but it
is not active link, and can not be expanded, and therefore the message can
not be send!!! The same behavior happens when I create a DL and Choose
Members from the GAL instead!!

I check on the Exchange Server, the DLs are there and their contacts are
also there. So they seem to be on the server.

Any idea why this is happening? Did we create the DLs wrongly? Is there a
work around to fix this problem?

Thanks
--
Aws