I have enabled anonymous access at the site level in a MOSS environment and have given "Entire web site" access permissions to anonymous users. However, when users attempt to access Office products stored in document libraries, they are prompted to authenticate. If they Cancel out of the authentication, the document is opened read-only without any issues. They can also right-click documents, choose Save As, and then open the file without being prompted at all. Is there a lingering permission set somewhere I need to change? I vaguely remember a similar issue with WSS v2 (KB 823553); is this an issue in MOSS now as well? Thanks in advance for any help you can provide!

Dan, were you able to resolve this issue?I am having the same problem.