asterisk users - Dec 2003 - problems with Background application

Good day,
    I'm just finished installing Asterisk and I run the demo context (in
fact, I did not changed the extensions.conf file).

I call it in G.711 u-law.

The problem is that Asterisk does not seem to handle the digits I punch on the
phone to get to sub-menus.  The file keeps on streaming, ends and Asterisk hangs
up.

Anybody has an idea?

Thanks,

Guy Lepine