SQL problems...

I have granted "all" priveleges and it doesn't work.
Steps:
1. Login via SSH
2. mysql -u omorley_stats -p
3. enter password "stats"
4. use omorley_stats;
5. SELECT * INTO OUTFILE 'data.txt' FROM Server1;
6. Receive response "ERROR 1045: Access denied for user:
'omorley_stats@localhost' (Using password: YES)"
7. Curse! :>

As per the helpfile at
http://dev.mysql.com/doc/mysql/en/Access_denied.html you will find the
following information:

any ideas on what that means or how to fix it?