ICloud sign-in not working

So I'm a litte stumped here with iCloud. (OSX Lion 10.7.2).
The first time (a few days ago) I decided to setup iCloud on my computer and it prompted me to sign in, but I chose the create a new @me.com account option. After completing the account creation I can't login to iCloud with the e-mail that I created.
When I put in my username and password in I get the "Merge Calendars and Contacts with iCloud" pop-up and I click "Merge" and nothing happens after that. I can however login with the same @me.com account on iTunes, the Mac App Store, on iCloud.com, **** I even signed in with it here at Apple discussions.
So essentially it works everywhere except when I try to login with it from my iCloud preference pane. Any idea what the problem could be? Is it something with my iOS or something else. Am I being forced to create a new account or is there something I can do to fix it, as I really want the e-mail I registered with the first time.
PS. iCloud works when I login on my Mac with other Apple IDs that I have except this one. AH.
I appreciate all help.

Not sure in your situation.  If the error you get is related to a "incorrect password" issue, I would suggest changing it using https://iforgot.apple.com .  Before resetting it though, I would remove any saved passwords for icloud in the keychain to ensure there is no trace of the old password first. 
If password errors is not your issue, I would strongly recommend calling Apple support. 
Good Luck.

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