Can't Create Letter Templates in Contract Management

Upon trying to modify existing letters and create new letter templates, I receive the error message that says, "Automation server can't create object.  MS Word must be installed on the system.  Also, configure the browser to run ActiveX controls:  Open the browser, select Tools, Internet Options, Security, Custom Level, and click the Enable button under Run ActiveX controls and plug-ins."  I did this and it already showed that ActiveX was already enabled.