Problems assigning an application to an OU

I am having the following problem and cannot figure it out. I am assigning an application (Office 2003 with custom MST) to an OU. The following occurs when the system starts up:
1) I receive a message applying custom application settings.
2) then I get one about configuring managed application Microsoft Office 2003
3) then immediately, I get a message about applying custom application settings again, then I get the logon screen.

I have assigned Office XP, and it work properly. Any insights will be greatly appreciated.
I am wondering if perhaps you aren't using the Enterprise Edition of Office 2003. If you're not using the Enterprise Edition of Office 2003, you cannot deploy via GPOs. Other than that, try logging on as an Domain Administrator to the local machine, and see what happens if you simply double click the install .MSI which is in the share. Does it install? If not, why? Likely the same reason (whatever it is.)
This was first published in May 2004

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