"Specify Exchange Options" Tab on Synchronization Properties needs to be filled out in order for exchange attributes to be set on the target and objects become mail- or mailbox-enabled. What is the behavior with regards to the distribution groups if this tab was left blank?
The behavior is by design.
Distribution group will be created on the target and membership will be properly synchronized. However none out of the exchange set of attributes will come over from the source object. Target group will not have any of Email addresses set.
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