Cannot authenticate to ISA proxy with apt-get running on Ubuntu 12.04 running likewise for domain auth

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http://askubuntu.com – I have a HP workstation running Ubuntu 12.04. I have installed likewise and joined it to the corporate domain at my work. I have set the proxy settings in system -> network -> network proxy and applied system wide. I can browse the web no problem however apt-get fails with an ISA authentication failure. I have modified the /etc/apt/apt.conf file from Acquire::http::proxy "http://proxy:port" to Acquire::http::proxy "http://DOMAIN\user:password@proxy:port" but I still get authentication error. I have changed the password a few times, and used different accounts to the same affect. Also ran s (HowTos)