Galaxy S3 - Kies 3.0 not working with Outlook

[Failure2Comply]

Since I installed the new 4.3 update to my S3, Kies required me to download v3.0. It said previous version not compatible. But now my "Sync" with Outlook does not work, it says either "Outlook is not set as the default client (which it is, I checked the phone and the computer) or it can not communicate with it. WTH? The previous versions worked great with my phone.