Thank you Ben and MB, The problem was somehow in my network here... (in the modem or router?). I had a friend come to test things and try to solve the problem and he connected with his PC laptop using Outlook.
After he sent mail successfully, we were both able to - my wife with Apple's Mail and me with PowerMail. I still don't know what the issue was but the server admin claimed that everything was working on their end. Thanks again for the suggestions and help! Paul

