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Retired Moderator
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Symptoms

When you click an HTML link to a Microsoft Office file (such as a Microsoft Word or Excel document), Internet Explorer may open the file in Internet Explorer, instead of opening the file in the appropriate Office program.

Diagnosis

This behavior may occur if Internet Explorer is configured to host documents for Office programs that are installed on the computer. By default, Internet Explorer is configured to host documents for Office programs.

Solution

To fix this problem automatically, click the Fix it button or link. Click Run in the File Download dialog box, and follow the steps in the Fix it wizard.

 

http://go.microsoft.com/?linkid=9729249

 

This article is based on a Microsoft KB 162059 or more information please visit the below given link

http://support.microsoft.com/kb/162059

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