Unmask Problems - Hoary 5.01

[Bobby Sanders]

I want my default unmask to be 002 for all the users on my small office
system.  I have tried changing it in /etc/login.defs, i.e I changed the
line;

UNMASK	022

to

UNMASK	002

rebooted, created a new file and the permissions were still -rw-r--r--

What am I missing?  I know this has worked on other *nixs in the
past!  :(

Thanks,

Bobby Sanders