White box appears on the image embedded in Outlook Email

Did you see any white box appears on the image in Outlook 2007 Email even though client PC has SP2 installed?

Follow the steps to rectify the above problem

Create a New email, click the Office Button in the top left, choose the Editor Options button at the bottom right, select Advanced, scroll down to the “Display email content” section and make sure there is no tick next to the “Show Picture Placeholders” option.