Cell Overlapping issue?

Hey.
One of my customers has a worksheet where he enters [alot] of text into cells. As if they were all word documents. Ok, well, not that much text. In either aspect, the cells are supposed to overlap into the next cell, if it's empty. Which it is. Only it isn't overlapping at all. It's still cropping as if there was some value/data/formulae/anything in that adjacent cell. I'm not sure why. We've deleted the cells in question (Both the ones we were enterring data into, and the ones that were supposedly empty) and re-inserted blank cells, and it still does not work.

Is this a glitch, or is there some work-around or fix for it? Or is it a setting and we're just special?

Thanks a million!

is the Wrap text feature on?

Check...Format|Cells >> Alignment tab... uncheck Wrap Text

Unfortunately, no, it is not. Already checked most of the usual suspects of such behavior.

(Cute baby in the pic, btw. :-P)

If any tab Characters were inserted in the cell (By using the command "Alt+Enter", the cell will automatically wrap text.

Well, without seeing the document it is kind of hard to diagnose if you already tried what you said... I am sure the document is confidential...so I am not sure what else to suggest at the moment...

hopefully someone else may have an idea....

Yeah. Alright man, well thanks a ton for your help. It was a neat feeling, being on the other end of the support person-customer relationship. :-P

Have a good one.

Hey, I managed to get the customer to agree to me posting this. Anyway, I've clipped all the sensitive information out, leaving only a single cell.
This was created in XL2003 SP3, the same package that I am using. I hope with this in your hands, you can help me a bit more.

Thanks a million!