Word Template not generating

I created a report with Oracle Reports and set it up in the concurrent manager as an XML report.  I set up the data definition and Template the way I normally do and when the report runs it completes with a warning.  The error message states:

Post-processing of request 31429233 failed at 03-MAR-2011 09:53:22 with the error message:
One or more post-processing actions failed. Consult the OPP service log for details.

When I choose 'View Output' I get the XML data instead of it using the Word Template and opening in Excel.

I just got a new computer with Windows 7 and Microsoft word 2010.  That is the only difference to other reports I've created and set up before.  Can anyone tell me what the problem might be so that I can fix it.