James,
You aren't likely to find a lot of IIS experts hanging out here. I suspect most of us are running this from the desktop, either with the built-in Cassini server or with IIS 5.1 in Windows XP. The book describes what to do under those scenarios.
I suggest you set up the mail credentials as described in the book. If it's not working at that point, tell us what the specific problem is and we can try to help...
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