I've used Solidworks for several years and have never encountered this problem.

I cannot create or even open assembly files.  When I try to open an assembly, an error message says 'Can't open C:\Documents and Settings\Damon.Sisk\Desktop\Pool Table.SLDASM.  The system could not recognize this file.'

I also cannot create drawing files, but I have none to try opening.  I'm working a contract job and don't have access to my previous work.

I think it is an installation problem, because SW2008 was just installed on my machine yesterday (fresh install), and the assembly and drawing icons are grayed out (see attached image).

I copied two .asmdot and two .drwdot files I found to C:\Documents and Settings\All Users\Application Data\SolidWorks\SolidWorks 2008\templates

but that did not fix it, even after restarting SW.

Any ideas?