The latest Office 2010 can be installed in the "Click-to-run" virtualized mode that allows for faster setup and instant update. This mode, however, does not support COM automation and as such cannot be used with XFRX.
More info about click-to-run: http://blogs.technet.com/b/office2010/archive/2009/11/06/click-to-run-delivering-office-in-the-21st-century.aspx