Until last week we were running Netware 6.5 SP8. I was aware that accessing NetStorage via WebDAV (using Microsoft Web Folders) does not work on Windows 7. Now I migrated the server to OES 11 SP2 and I decided to re-investigate the issue. Currently, I still can't access NetStorage from WebDAV on Windows 7. When I try to add new network location in Windows, enter the correct URL and I'm prompted for username and password. After entering the correct password, the username/password window re-appears. On entering the username and password second time, I get error message "The folder you entered does not appear to be valid. Please choose another."

Is the situation still such that accessing NetStorage via Microsoft Web Folders on Windows 7 does not work, or do I have something misconfigured?

From web browser, there are no problems accessing NetStorage.