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Default XLS files opening as Read-Only Repaired Compatibility mode

When I open a 2000 xls file from the server using 2007, I get a msg as follows:
"Excel was able to open the file by repairing or removing the unreadable
content.
Workbook as lost VBA project, ActiveX controls or other programmability
related features."

Then the file opens as "Read-Only, Repaired, Compatibility" and I can't save
any changes to the file. Another user on our network has no problem opening
and editing the same file.

Anyone have any suggestions as to what is causing this?
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