This is the process that worked for me. Make sure you don't quit app. I did, so had to redo this process and back up and running.
-Close Outlook
-Delete com.microsoft.Outlook.plist from HD/Users/user/Library/Preferences
-Go to documents/microsoft user data/
-Save Main Identity
-delete the folder Microsoft 2011 Identities
-reboot
-restart Outlook
-Close Outlook
-delete the folder Microsoft 2011 Identities
-Delete com.microsoft.Outlook.plist from HD/Users/user/Library/Preferences
-reboot
-Copy Main Identity back into Microsoft 2011 Identities