I found a Microsoft KB article which said the fix was to remove the profile section in the registry and re-create the profile. I did that.
Before that - the MAIN Outlook window would open at about 3/4 of the screen size - with the right edge of the window about 1/2 inch from the right side of the screen. But, when I opened any email (forward, reply, double-click to open, etc.) the email would open about 1/4 screen size - with the lower-right corner of the email very near the lower-right corner of the screen.
After that (remove profile, recreate). I cannot get Outlook to work like that. When I open an email - most of the time, the email window is the same size as the MAIN Outlook window - and it is positioned slightly below and slightly right of the position of the MAIN window.
I've used CTRL-Close, Shift-Close ... nothing seems to help. In fact - seems this makes things worse. If the email size does get 'remembered' then if/when I close/reopen Outlook, the MAIN window opens at the smaller size and position.
Anyone have any ideas?