>>>Product Level SP3
>>
>>I see, this option is out then :(
>>
>>BTW, this is step by step instructions as how to set them up
>>http://msdn.microsoft.com/en-us/library/ms159150.aspx
>
>Thanks Naomi.
>
> I think database mail may be the way for me for now.

BTW, make sure to install the latest SP. I believe SP4 is for SQL Server 2005.