The mysterious problem with my new Nokia 3650 phone has been solved! I noticed one contact had a . and a space before the first name field. Apparently this happened somewhere during many sim card copy exercises. My guess is that the Contacts application burps on the 'illegal' characters while parsing the address book file. Once I removed the bogus entry the first call that came in was recognized and the caller's name was displayed instead of just the incoming caller ID number.
1:40:15 PM