If you use Word as your default editor in Outlook, whatever settings you have in Word will be used in Outlook. As stated above, you can change the default location in Word and therefore it will be set in Outlook as well.
If you don't use Word, i don't think there is a way to change it.
mojo
I think mojo is right, you can't change locations with Outlook or Outlook Express - you can't install in any other drive other than C: you cannot rename folders or customise your installation. That is the whole reason that virus writers target these programs because they know exactly where everything is on every computer. (I'm not complaining really - I make quite a bit of money cleaning viruses off computers).
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