I have an Exchange 2003 server and OL 2003 client. If I read messages on the Droid 2, Outlook and my OWA server will properly show them as read after the Droid syncs (every 15). If I use my OWA server to read message both Outlook and Droid also show them as read. However, if I use Outlook to read my message, OWA will show them as read as it should, but the Droid 2 does not update the messages as read.

Currently my inbox has no unread messages, but I have over 100 on my droid as unread.