Hello,
The phone settings areto do with the modem dialling
settings - not the regional or input locale settings.
Please note that I use Win2000 - and in Control panel it's called phone & modem settings - but it's something similar in win95/98. Its where you set the dialling properties and options -such as dial 9 for outside line, etc.. of the modem.
This is where Outlook picks up the country dial code from.