Well, zylstra555, I believe I understand your thinking here. You're saying why would Word let you modify a template because you then lose the original template. Right? But, in fact, my tests with both Word 2003 and Word 97 worked the same. I could open a never before opened template, make a change to it, and Word allowed me to save it without any alert or prompt asking me to confirm that I want to overwrite the existing file.
So, if preservation of the original template deemed desireable, then the user should open one of the original MS templates and save it under a different name. Since I really haven't used templates much, I'm thinking the other logical approach is to simply open a template and save it as a regular Word document. Is there any particular reason to retain the template file format? I think not, unless converting it to .doc results in loss of some features in the template; indeed, this may be the reason to retain the template format.
However, Word 97 would not let me change a template to a document; Word 2003 will allow this via Save As.
Edit: I intended this to follow zylstra555 previous post, not Rob Pomeroy's; somehow, I did not see Rob's post before posting this.