Why is the "Format Text" option grayed out in the "AutoCorrect" dialog box?

You need to highlight the text first.

• type in the word first
• apply any formatting to the word
• highlight the word
• go into AutoCorrect
• the highlighted word will be in the "with" field
• enter a short word in the "replace" field
• select the Formatted Text option.

Then when you key in the short word in your document, it will be replaced with your other word already formatted.