Drag and Drop from 2007 Excel and Word File Open and File Save win

One one of our Windows XP SPK3 computers were running Office 2007. When ever

your using Word or Excel and you use either the File Open or File Save

commands and the Windowed Dialog Box appears with your file and folder

listings it will not let you move or drag and drop a file from one location

to another.

Lets say you have 3 Sub Folders in My Documents ( Folder 1, Folder 2 and

Folder 3 each containing files.) You notice while in the File / Open or File

/ Save Dialog Box window that their are several files which currently reside

in the My Documents folder but should be in say Sub Folder 1. From all other

systems I am able while in the File / Open or File / Save Dialog box to

highligt a file or group of files and move them to another folder. Say move

File-01.doc to Folder 1 or move File-02.xls to Folder 2. Its not letting me

do this while in the Office .. Word or Excel File / Save or File / Open

dialog windows. I can do it outside of Office as in Explorer Windows.

I have as mentioned in an earlier fix deleted the

HKEY_CURRENT_USER\Software\Microsoft\Office\12.0\Word\Data key saved the

registry then reopened Word or Excel and it will in Word work for 1 attempt

then it once again stops working.

I have done the Office Diagose and Repair functions but still I can't get

this Drag and Drop feature to work properly.

All updates are current.

Thanks for your assistance.