Also, just a little information for anybody else with this problem. You CAN still save .Ai files if you hide all the layers before saving.
Unfortunately when you hide the layers you can't save or export the final version .pdf file to send to print, and there's no work around for that...a big problem.
I've verified the Zune software is the only thing affecting this through uninstallation and reinstallation of both programs several times.
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