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Default Changing text dates to date serial numbers

I have the following in a spread sheet:
Pay Date
01/05/2007 #VALUE!
01/05/2007 #VALUE!
01/05/2007 #VALUE!
01/11/2007 #VALUE!
the Pay Date is in column A1 and the function is in B2
the function that returns the "#VALUE!" error is "=DATEVALUE(A2)

why do I get an error? I'm using Excel 2003 (11.8146.8132) SP2
 
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