C# WEB: Identity Impersonation Issues

[Xexon]

Hey all, I hope someone out there has got a solution to this rather irritating problem :)

Ok here it goes...
I have a Web App that does 2 things. It uploads word-document files to a folder on my server, scans them with a virus-scanner and then using the office dll's I extract the contents of the document and put it in my database to be able to search through it.

The Virus-Scan part works just great, but the Word thing troubles me a bit. I have tried without identity impersonation, with ASPNET and NETWORK SERVICES have full rights to the folder I store the file in, but I keep getting an access denied error.

Then I tried with identity impersonation on, but that resulted in a login box to appear when I try to access the file with Word, eventho the IUSR (the specific one for the server, in this case IUSR_SAM02) had full rights.

<identity impersonate="true"/>

Lastly I tried impersonating a specific user on the server but that gave me an error in

Access to the path "C:\WINDOWS\Microsoft.NET\Framework\v1.1.4322\Temporary ASP.NET Files\root\205f48d4\29cf1a87\hash.web" is denied.

<identity impersonate="true" userName="testsamdk" password="*********"/>

Anyone that has an idea as to how to overcome this problem? As far as I know if identity impersonation is run the corresponding IUSR should just be allowed full righst to the folders in question right?