Ampersands in file names have been OK at least since Win7, I believe. I know they work just fine in Win8 and Win10 but don't have the time to fire up my Win7 box to check.
You have almost certainly turned the Strike Through text formatting on. I can't for the life of me remember what Word 2002 looks like now, but there is typically a button near the Bold/Italic/Underline buttons that shows text with a line through the middle. You just need to turn strike through off.
Brian AKA Bri the Tech Guy (my website address is in my profile) Windows 10 Home, 64-bit, Version 1709, Build 16299
Here is a test to find out whether your mission in life is complete. If you’re alive, it isn’t.
~ Lauren Bacall