I am currently working with Excel 2002. I've had this version for years and this problem only recently occurred. When I click on Tools the Protection option as well as the compare and merge Workbooks option is grayed-out, thus preventing me from protecting or unprotecting workbooks.

Has anyone run across this before and if so how do I fix this?

Thanks.

This happens when you open the program and start a new document? Or only when you open an existing doc?

It is grayed-out when I create a new spreadsheet or view an old one.

Try this:
1. Choose Customize from the Tools menu. You will see the Customize dialog box.
2. Make sure the Toolbars tab is selected. (Click here to see a related figure.)
3. In the list of available toolbars, select the one you want to reset.
4. Click on the Reset button. You are asked to confirm resetting of the toolbar.
5. Click on OK to reset the toolbar.
6. Repeat steps 3 through 5 for each toolbar you want to reset.
7. Click on Close to dismiss the Customize dialog box.


(source)

It wasn't a toolbar that was the problem. However, I went to Commands then Tools and hit modify selection and it gave me the option to reset, which I did. Hopefully, I didn't cause a new problem because I now can have the ability to protect a worksheet.

Thanks for you quick response and tremendous help.