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They are both present progressive, though they're being used in different ways- the first for future time and the second for present. Word97 can do the phonetic alphabet if it has an appropriate font installed, which doesn't come as standard. I got mine from a dictionary on CD. ;-)
I think you can use the phonetic alphabet without having to install any special font.
You just have to have an "Unicode" font, like "Lucide Sans Unicode". If a font is unicode, it is indicated in the name.