How to Import Holidays Into an Outlook 2007 Calender

A Holiday update has been released for Outlook 2007 which contains holidays for 2013 and later.
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I found that the latest holidays are missing from my calendar. I checked for updates but none are there and manually trying to install the latest holiday updates gives an error that the update is already installed or does not apply to my system. How can I get the latest holidays to show up?
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How to use the Add Holiday to Calendar feature. Includes instructions to create a custom Holiday File (HOL) to share all day events with Outlook users.

Here is a quick and easy way to add all holidays to your Outlook 2003 Calendar. This tip also works for countries other than the United States.