I don't know of a way to clear only one entry, but you can clear the entire drop down list through the registry. As with any registry operations, mistakes can be catastrophic. Back up your registry before attempting this procedure.
First close Outlook. Now open the Registry Editor (Start-Run, type regedit, and click OK). In the Registry Editor window, double-click on the HKEY_CURRENT_USER folder. Then open the following folder: SoftwareMicrosoftOffice9.0OutlookContactQuickFindMRU Select the QuickFindMRU key and delete it. Then close the Registry Editor. The next time you open Outlook, the Find A Contact dropdown list will be empty.
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