Given that there doesn't seem to be a way to post Beta 2 bugs in the beta 2 area, I am posting this here. I am running a new cleam installation of Windows 2003 32-bit R2 on an HP server. The server has been promoted to be a DC with all critical updates applied. IIS is also installed (minus SMTP server). The Domain Administrator account is a member of Domain Admins, Enterprise Admins, etc. Yet about 5 minutes into the install, I get the error below (the text is a screen shot from Exchange 2007 Beta 2 setup): ====== Summary: 5 items. 0 succeeded, 1 failed. Elapsed time: 00:15:29 Organization PreparationFailed Error:You do not have sufficient access privileges to read the security descriptor on the Deleted Objects container. You must be an Enterprise Administrator to read this ACL. ntSecurityDescriptor was null Elapsed Time: 00:07:08 Copy Exchange FilesCancelled Hub Transport RoleCancelled Client Access RoleCancelled Mailbox RoleCancelled ======== I created a new user account and gave it Enterprise Admin priv and the problem went away. I *might* have been logged in as local admin but I'm pretty certain I was not. If I was, the pre-check stesp should have failed.

If this server also is a DC, I'm pretty sure that you where not logged in as a local admin...