The first thing I would do is go to http://www.uftree.com/UFT/Nav/ufttech.htmlhttp://www.uftree.com/UFT/Nav/ufttech.html click on "Upgrade Information and Downloads" and download the UFT 2.8 upgrade. After you download, execute the program and update your 2.0 to 2.6. Then download the "Configuring UFT to work with MS Explored 5.x" and unzip it into the UFT folder. You can download both updates before you disconnect but run the update to 2.8 before you reconfigure for MS Explorer.
After this process, check to see if you still have problems and let us know.