BI Pub Template Builder 12.2.1.2 0 (32-bit) fails with subtemplates

Summary

When previewing after using the

Content

Using BI Publisher Template builder 12.2.1.2.0 on Windows Server 2012R2 with Word 2007 32-bit. The problem I will describe did not exist in earlier (11g) versions of the template builder on this system.

I have a subtemplate located at c:\users\administrator\desktop\BI Pub\Template_Store.rtf

That subtemplate contains this template:

<?template:Retro_Logo?>Hello<?end Retro_Logo?>  

Incidentally, I also tried <?template:Retro_Logo?>Hello<?end template?>

Now over to my report template RTF file.  Before calling the subtemplate, my report RTF file works file.  Then I add the call to the subtemplate, like this: