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Help Droid 2 and Exchange 2007

OK, the Exchange setup works fine but it is forcing me to use a password. I have gone into my Exchange server and turned off the option to require a device password and it still makes me set one when I create the account. I have the Exchange server pretty open right now with the SBS Mobile mailbox policy. Is there something I am missing, or will I always have to have a device password when using Exchange?

TIA
 

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