RE: WLM - All contacts offline
Your Contacts file got corrupted. I had that issue 2 weeks ago, too, and took me a lot to fix it.
Open up Windows explorer, and go to C:\Users\<your username>\AppData\Local\Microsoft\Windows Live\Contacts. Then, delete the folder with your mail account name and try signing in again.
If that doesn't work, delete the aforementioned folder again, uninstall Windows Live Messenger, clean the Registry Editor and then reinstall Windows Live Messenger.
I hope that works for you.
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