Thank you for your reply. I really appeciate the help !
This is a very odd problem. Here's the entire story... We connect remotely from an automated test script written in VBscript to a common test account on an AIX server. The VBscript simulates an interactive user login so the AIX server thinks someone is logging in and executing our first Perl script manually. This first Perl script calls Perl sudo with the -i option to execeute a second Perl script under a different uid and gid. Well now the .profile successfully executes (yeah!... I put an echo debug statement in there to be sure), but, (and this is the really strange part) when the second Perl script executes the environment variables defined in the .profile are no longer defined !!! I know this because at the top of the second Perl script I print out the important environment variables (print $ENV{'CLASSPATH'};) and they are all empty. Why??