Thanks for the reply I have found the answer in microsoft online.
Here it is for anyone who is interested.
SYMPTOMS
In Microsoft Word 2002, when you create an e-mail signature, no e-mail
signature category is displayed on the AutoText menu as is the case in
Microsoft Word 2000.
CAUSE
This behavior occurs because, in Word 2002, e-mail signatures are no longer
automatically added as AutoText entries by default. This change was designed
to better integrate e-mail signatures with Microsoft Outlook when Word is
used to edit e-mail messages: When you create a new signature in Word, the
new signature is now available in Outlook.
WORKAROUND
To work around this issue, add a signature as an AutoText entry by selecting
the signature. Then, point to AutoText on the Insert menu and click New.
You can also create a new category for e-mail signatures on the AutoText
menu. To do this, follow these steps:
1.. Create an e-mail signature:
1.. On the Tools menu (in Word), click Options, and then click the
General tab.
2.. Click E-mail Options, and then click the E-mail Signature tab.
3.. In the Type the title of your e-mail signature or choose from the
list box, type a name for your signature.
4.. Under Create your e-mail signature, insert the text, pictures, or
both, that you want to use for a signature.
5.. To create another signature, click New, and then repeat steps c and
d.
2.. Add the e-mail signature to the AutoText menu:
1.. On the File menu, click New, and then click Blank E-mail Message in
the New Document task pane.
2.. Select the signature in the new e-mail message.
3.. Point to AutoText on the Insert menu, and then click New.
4.. Name the new AutoText entry, and then click OK.
Note that when you point to AutoText on the Insert menu, there is a new
category for e-mail signatures on the AutoText menu.
5.. To add another signature to the AutoText menu (if you have created
more than one signature file), right-click the signature, select the
signature that you want to add (or edit the current signature), and then
repeat steps c and d.