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Microsoft Word 2007 can work with documents in three file formats. The native Word 2007 format has the new file extension “.docx”. Whenever you save a file in this format, it can use the full range of facilities and features found in Word 2007, with the exception of macros. If a Word 2007 document contains any macros, it must be saved in a different file format using the extension “.docm”.

In addition to these two native formats, Word 2007 is also capable of both opening and creating documents using the “.doc” file extension, the file extension found in previous versions of Word. Word 2007 files saved with this file extension will not have access to the full range of features found with in Word 2007. Features which have been introduced in 2007, such as Themes, will not be available in documents saved with the file extension “.doc”.

When a new Word 2007 document is saved for the first-time these three options are available in a drop-down menu labelled “Save As Type”. Unless you specify otherwise, new documents will be saved with the file extension “.docx”. However, if you’re sending the document to a person using an older version of Word, you can save the document in a backward compatible format, using the file extension “.doc”.

what about the “.docm” format? Well, when you open a document containing a macro, by default, Word displays a security warning notifying you that macros have been disabled. If you want to, you can then click on Options and enable the content.

When you open a file created in an old version of Microsoft Word, Word 2007 does not automatically convert the file to the new format. For your convenience, it leaves it in the old format and goes into a special mode called “Compatibility Mode”. (The words “Compatibility Mode” are displayed in brackets next to the document title.)

As long as the file remains in compatibility mode, you can still continue working on it, making changes to the document and saving those changes. However, certain new 2007 features, such as Themes, will not be available. If you place the mouse over the Themes group of the Page Layout Tab, you will see a tool tip saying: “This document has been opened in compatibility mode. To use this feature convert your document to a new file format. Click on the Office button and then click convert.” If you do as the message invites you to, “Compatibility Mode” disappears from the title bar and when we save the file Word changes the file extension and the document will then have been converted to the Word 2007 format.

If you are someone who works in an environment where both Word 2007 and older versions are in use, Microsoft has provided an alternative solution. You can download and install an update called the Office Compatibility Pack. This allows older versions of all the Microsoft Office packages to read the new 2007 file formats.