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I don't have that key on my XP SP2 PC with both Office 2003 and Office 2007 installed. The only key I have under \Proofing Tools\1.0\ is Custom Dictionary.

Um why would he need a Works Disk for Office 2007?

What I would recommend is doing a clean reinstall of Office 2007. Uninstall it, delete all the folders it created, then install from scratch.