Question : Red X displayed instead of picture.

I have a user that I just installed a new computer for with Office 2007 and whenever she gets an e-mail with a picture inbedded in the mail she gets a red X. But I installed my new pc the same day and I can view the same e-mail when she forwards the e-mails to me.

Answer : Red X displayed instead of picture.

Following text taken from
http://askville.amazon.com/Pictures-e-mail-text-picture-space-red/AnswerViewer.do?requestId=7336285

Outlook contains a feature that requires manual action to download images in e-mails from other people. This protects you from loading images sent in a spam e-mail and providing confirmation to the spammer that they have really sent e-mail to a real e-mail address.

If you don't like this behavior, you can go to the security options in Outlook (Tools menu, Options, Security tab). Under "Download Pictures" press the "Change Automatic Download Settings..." button. Uncheck the first checkbox and all pictures will come through in e-mails from other people, no questions asked.

Another option is to leave the security settings the way they are and click on the strip at the top of an e-mail when you are reading it that informs you that Outlook did not download some of the pictures in the message. You will be able to manually load images in just the e-mails you want to see them in.