exim + fetchmail configuration question

[mmiller3@iupui.edu (Michael A. Miller)]

I'm about to move inside of a firewall.  I'm told that I can get
my mail from our imap server (which is outside the firewall)
using fetchmail.  This fails with a message that says

  Some addresses were rejected by the MDA fetchmail forwards to.

  Reporting-MTA: dns; localhost

  Final-Recipient: rfc822; miller@localhost
  Last-Attempt-Date: Sun, 13 Jan 2002 14:23:40 -0500 (EST)
  Action: failed
  Status: m.0.0
  Diagnostic-Code: miller: 550 relaying to <miller@localhost> prohibited by administrator

I think that can solve this problem if I add localhost to me
local_domains in the exim config file.  Would someone with exim
expertise let me know if this is the correct way to do this?  Or
if there is a better way?

Mike