Problem with AD Connector updating City, State with literal text

The Problem:
When a user is created in AD (using out of the box OIM connector 9041), all values for city, state etc change in AD to be literally "city", "state" etc. instead of correct values supplied via AD User Provisioning form (even with prepop).

The Resolution:
There is a task in AD called Set Exchange Related Properties in Exchange Provisioning Definition. This task has a literal value for all the AD fields like "city", "state". Either make this task conditional or map these values from Xellerate User City / State UDFs.