I just can't use the org.postgresql.Driver class... Please help!

Hi everybody.
Thi is my first time trying to use postgresql jdbc and I'm very frustrated.

This is my env:

C:\>java -version
java version "1.5.0_06"
Java(TM) 2 Runtime Environment, Standard Edition (build 1.5.0_06-b05)
Java HotSpot(TM) Client VM (build 1.5.0_06-b05, mixed mode, sharing)

I have these files in the same directory:

Simple source file (JasperReportsTest.java):

public class JasperReportsTest
{
   public static void main(String[] args)
   {

   Class.forName("org.postgresql.Driver");

   }
}

Simple batch file to compile it (JasperReportsTest.bat):

set CLASSPATH=postgresql-8.1-405.jdbc3.jar
javac JasperReportsTest.java > javac.log 2>&1


Simple log file making me crazy (javac.log):

JasperReportsTest.java:6: unreported exception
java.lang.ClassNotFoundException; must be caught or declared to be
thrown
   Class.forName("org.postgresql.Driver");
                ^
1 error

Obviously the file postgresql-8.1-405.jdbc3.jar is there...

Why does it say ClassNotFound if the file is there? Can anyone help me?
Thank you : )

--
Kamal