I went and created a document, protected it wu th a password. It says if you forget the password, it can not be recovered.
So, lets see if you marked it final. I think you can uncheck that?.
I will check back tomorrow if I find something for you.

Hi kiddo, give this a try...

Stop protection for comments and changes

1.On the Review tab, in the Protect group, click Protect Document, and then click Restrict Formatting and Editing

2.In the Protect Document task pane, click Stop Protection.

Note   If you use a password to add protection to the document, you need to type the password before you can stop the protection.

Hope this helps

Thanks for the great suggestions MzDuffle and LV!! Come to find out all I had to do was change the "preset" page color to just one or 2 colors and it converted it just fine.

LV,I wish I had that "Stop Protection" button!! Have the Business version of Office 2007 and it's not on there. Crazy. I've never made any passwords to protect them in the first place. Must have been clicking around and experimenting one day and screwed it up somehow. I'm still on a mission to get that unprotected thingy taken off somehow!

You might find your answer here.

http://www.wordbanter.com/showthread.php?t=120542