No Joy.
In Microsoft Word, 2003, I open the Reviewing Toolbar (I think that is what it is) to get a drop down menu. (It says Show with a downward pointing triangle.) From the menu that includes Final, Original, Comments, etc, select Options at the bottom. In the Track Changes dialog, the field for "Use Baloons (Print and Web Layout):" was already set to Always. I changed it to "Only for comments/formating" and saw no change. I changed it back to always with no effect. All the comments are still in a window below the main body of the Word document.