IE 8 Administrator Rights

For a week or so I've been getting blocked adding new favorites in IE 8 specifying that I need to be a member of the Administrator group in order to perform this task (my 2003 R2 domain id is a member of the Administrators group on the local box in Win 7 and a Domain Administrator on the Domain). Logging in with the same userid on my laptop this issue doesn't occur; just on the desktop PC. Also, IE has been removing links arbitrarily. Nice feature.

I have moved the UAC slider down to zero on both (I did this when I first installed Win 7 2 months back). I don't see anything in the Server's Domain or Domain Controller security policies that would cause this. I altered the UAC settings for the Workstation's security, but the problem persists. I dont' get any permission errors on anything else just in IE 8. And as mentioned before, no issues with same userid on either the laptop or logged-in to the server.

Both PCs were repartitioned and reformatted with clean installs of Ultra 64bit Win 7. Am using Eset Nod 32 v 4 AV. Domain Admin is my primary group membership.

Any ideas what is potentially causing this? It is very frustrating.

Thanks in advance,
Tom

btw, my enabled addins are just the Google toolbar, OneNote and Research, RealPlayer, and Java. Adobe and Snagit have been disabled.