Pdf attachment not working rails 3.0.3

In rails 3 when we attach pdf document in email through action mailer,
that pdf is not come as a attachment in e-mail, its come in body like

Date: Wed, 29 Dec 2010 19:56:12 +0530
Mime-Version: 1.0
Content-Type: application/pdf;
charset=UTF-8;
filename=free_book.pdf
Content-Transfer-Encoding: base64
Content-Disposition: attachment;
filename=free_book.pdf
Content-ID: 4d1b450431abc_e3c211babc122f@xxxxxxxxxxxxx

JVBERi0xLjMKJf////8KMSAwIG9iago8PCAvQ3JlYXRvciAoUHJhd24pCi9Q
cm9kdWNlciAoUHJhd24pCj4+CmVuZG9iagoyIDAgb2JqCjw8IC9UeXBlIC9Q
YWdlcwovQ291bnQgMQovS2lkcyBbNSAwIFJdCj4+CmVuZG9iagozIDAgb2Jq
Cjw8IC9UeXBlIC9DYXRhbG9nCi9QYWdlcyAyIDAgUgo+PgplbmRvYmoKNCAw
IG9iago8PCAvTGVuZ3RoIDU4OAo+PgpzdHJlYW0KL0RldmljZVJHQiBjcwow
LjAwMCAwLjAwMCAwLjAwMCBzY24KL0RldmljZVJHQiBDUwowLjAwMCAwLjAw
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Rgo=

I read whole document of rails3 action mailer and i copied same code
which is mention in action mailer docs, stil its not working. can any
one give me some idea so that code can work. i am using ruby 1.8.7 and rails 3.0.3

my code is

require 'rubygems'
class OrderMailer < ActionMailer::Base
default :from => 'bhushan.fegade@arrkgroup.com'

def email_orders

OrderMailer.pdf_email.deliver

end

def pdf_email

attachments['terms.pdf'] = File.read('C:\\Bhushan\\hello.pdf')
mail(:to => "bhushan.fegade@arrkgroup.com",
     :subject => "Please see the Terms and Conditions attached")

end

end