Thanks Garvin -
My config settings had "serendipity". I changed it to "/serendipity/" and am back in business.
I appreciate your help. Happy New Year!
Jim

I am using 1.1.2 and It has worked beautifully. Today the following occurred: my category URL's changed. For example, the category "business lessons" showed as follows:
http://thorstenconsulting.com/serendipity/serendipityindex.php?/categories/4-Business-Lessons

From my sitemap here is the correct ...