You might not have a folder called .limewire, unless you've used much older versions of LW before. The new location for the preferences folder is C:\Documents and Settings\your username\Application Data\LimeWire. Application Data's hidden by default, so you'll need to show hidden files & folders to be able to see it

Try the advice in this thread http://www.gnutellaforums.com/connec...t-fix-try.html

Start off by deleting the preferences folder - there's more info in that thread about how to find it. If that doesn't help, try changing Java versions. Quite a few people have had problems with the Java version that you have now.

If you still can't connect, try replacing the gnutella.net file as described in that thread.