Error 10016 on Windows 2003 running ISA 2004

The server is logging dozens of these each day, and overall internal network
service is bogged down with unexpected delays. Client machines are
constantly reporting connection with Exchange server has been lost then
restored after 1-20 seconds. No other servers or workstations are logging
any system errors.

here is the detail on the logged message:

The application-specific permission settings do not grant Local Activation
permission for the COM Server application with CLSID
{BA126AD1-2166-11D1-B1D0-00805FC1270E}
to the user NT AUTHORITY\NETWORK SERVICE SID (S-1-5-20). This security
permission can be modified using the Component Services administrative tool.

Using the help info on the error message, I find this in the registry:

HKEY_CLASSES_ROOT\CLSID\{BA126AD1-2166-11D1-B1D0-00805FC1270E}

There are no subkeys on this, just these two:

(default key) has a value of Network Connection Manager Class
AppId has a value of {27AF75ED-20D9-11D1-B1CE-00805FC1270E}

When I go to DCOM objects there is no Network Connection Manager Class nor
an id for {BA126....}

I dont know if this is a Windows 2003 or an ISA problem. As far as I can
tell, all updates are applied.

Any help would be more than appreciated.
--
LarryH