I just downloaded the Yahoo! Zimbra Desktop to evaluate for use in my company. I added an account, set for manual update, and started the desktop. It comes up fine, I hit "Send/Receive" and a minute later, the server dies with the above message.

Testing against a uw imap server. The entire debug log is below:

2009-05-25 01:21:07,164 DEBUG [main] [] offline - Loading 6 folder mappings for service 'yahoo.com'
2009-05-25 01:21:07,164 DEBUG [main] [] offline - Loading 2 attrs for service 'yahoo.com'
2009-05-25 01:21:07,164 DEBUG [main] [] offline - Loading 19 folder mappings for service 'gmail.com'
2009-05-25 01:21:07,164 DEBUG [main] [] offline - Loading 2 attrs for service 'gmail.com'
2009-05-25 01:21:07,164 DEBUG [main] [] offline - Loading 5 folder mappings for service 'aol.com'
2009-05-25 01:21:07,164 DEBUG [main] [] offline - Loading 8 folder mappings for service '.m***change'
2009-05-25 01:21:07,164 DEBUG [main] [] offline - Loading 9 folder mappings for service 'hotmail.com'
2009-05-25 01:21:09,434 INFO [main] [] log - No Transaction manager found - if your webapp requires one, please configure one.
2009-05-25 01:21:09,872 INFO [main] [] log - Opened C:\Documents and Settings\frickson\Local Settings\Application Data\Zimbra\zdesktop\jetty\logs\access_log.2009-05-25
2009-05-25 01:21:09,888 INFO [main] [] log - Started SelectChannelConnector@localhost:7633
2009-05-25 01:21:09,982 INFO [service-port-ping] [] offline - service port is ready.
2009-05-25 01:23:42,831 INFO [btpool0-2] [mid=3;] offline - >>>>>>>> name=xxxxxxx@xxxxxxx.com;version=1.0;build=1537;re lease=R;os=Windows XP x86 5.1;type=imap
2009-05-25 01:23:42,847 INFO [btpool0-2] [mid=3;] datasource - Importing data for data source 'Xxxx'
2009-05-25 01:23:42,894 INFO [btpool0-2] [mid=3;] datasource - IMAP read timeout is 60 seconds
2009-05-25 01:23:44,068 DEBUG [btpool0-2] [mid=3;] datasource - Found 0 folders for DataSource: { id=49ff0215-2040-4da2-b57a-7687d20ba8c0, type=imap, isEnabled=true, name=Xxxx, host=mail.xxxxxxxx.com, port=993, connectionType=ssl, username=frickson, folderId=1 }
2009-05-25 01:24:48,392 INFO [btpool0-2] [mid=3;] datasource - Import completed for data source 'Xxxx'
2009-05-25 01:24:48,392 FATAL [btpool0-2] [mid=3;] system - handler exception
java.lang.OutOfMemoryError: Java heap space
at java.lang.String.<init>(Unknown Source)
at java.lang.StringBuffer.toString(Unknown Source)
at com.zimbra.cs.mailclient.imap.MailboxName.decodeBy tes(MailboxName.java:80)
at com.zimbra.cs.mailclient.imap.MailboxName.decode(M ailboxName.java:60)
at com.zimbra.cs.mailclient.imap.MailboxName.decode(M ailboxName.java:56)
at com.zimbra.cs.mailclient.imap.ListData.readMailbox List(ListData.java:71)
at com.zimbra.cs.mailclient.imap.ListData.read(ListDa ta.java:47)
at com.zimbra.cs.mailclient.imap.ImapResponse.readUnt agged(ImapResponse.java:89)
at com.zimbra.cs.mailclient.imap.ImapResponse.readRes ponse(ImapResponse.java:53)
at com.zimbra.cs.mailclient.imap.ImapResponse.read(Im apResponse.java:41)
at com.zimbra.cs.mailclient.imap.ImapConnection.readR esponse(ImapConnection.java:627)
at com.zimbra.cs.mailclient.imap.ImapConnection.nextR esponse(ImapConnection.java:621)
at com.zimbra.cs.mailclient.imap.ImapConnection.waitF orResponse(ImapConnection.java:540)
at com.zimbra.cs.mailclient.imap.ImapConnection.sendR equest(ImapConnection.java:475)
at com.zimbra.cs.mailclient.imap.ImapRequest.send(Ima pRequest.java:76)
at com.zimbra.cs.mailclient.imap.ImapRequest.sendChec kStatus(ImapRequest.java:80)
at com.zimbra.cs.mailclient.imap.ImapConnection.doLis t(ImapConnection.java:267)
at com.zimbra.cs.mailclient.imap.ImapConnection.list( ImapConnection.java:251)
at com.zimbra.cs.datasource.ImapUtil.listFolders(Imap Util.java:47)
at com.zimbra.cs.datasource.ImapSync.syncFolders(Imap Sync.java:186)
at com.zimbra.cs.datasource.ImapSync.importData(ImapS ync.java:145)
at com.zimbra.cs.offline.OfflineImport.importData(Off lineImport.java:88)
at com.zimbra.cs.datasource.DataSourceManager.importD ata(DataSourceManager.java:154)
at com.zimbra.cs.mailbox.LocalMailbox.importData(Loca lMailbox.java:417)
at com.zimbra.cs.mailbox.LocalMailbox.syncAllLocalDat aSources(LocalMailbox.java:389)
at com.zimbra.cs.mailbox.LocalMailbox.sync(LocalMailb ox.java:431)
at com.zimbra.cs.service.offline.OfflineSync.handle(O fflineSync.java:49)
at com.zimbra.soap.SoapEngine.dispatchRequest(SoapEng ine.java:429)
at com.zimbra.soap.SoapEngine.dispatch(SoapEngine.jav a:286)
at com.zimbra.soap.SoapEngine.dispatch(SoapEngine.jav a:160)
at com.zimbra.soap.SoapServlet.doPost(SoapServlet.jav a:269)
at javax.servlet.http.HttpServlet.service(HttpServlet .java:727)