Multiplication Bug In Excel 2007?

As reported on Slashdot, Excel 2007 appears to have a major multiplication bug:

The example first that came to light is =850*77.1 — which gives a result of 100,000 instead of the correct 65,535. It seems that any formula that should evaluate to 65,535 will act strangely.

Can someone confirm this? I don’t have Excel 2007.

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