Help! - HTML Images not displaying in Email

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Is this a common problem, or is it unique to my Entourage settings &
environment?

I have a bold red "X" showing in boxes throughout incoming emails
where there should be an image ??

Emails look great when I view them on the server; but when I download
them to Entourage with "Send/Receive" they show up with bold red "X"
where there should be an image? I also never get the yellow "info bar"
at the top of the message giving me the option to display the
content??

My environment is as follows:
HW= Macbk;IntCDuo,4MbCache,2GbMem
SW= MacOSX 10.4.10. Entourage 2004 for Mac Version 11.3.6.
Preferences = all Entourage Security boxes are checked. All email
senders are in my Entourage contact list.
Account Type: POP

Any ideas? anyone?

.

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