I just go the latest version of iTunes and I got a large number of old unwanted files "in the cloud" that I cannot delete unless I load all all of them, which should take a few days. Is this a bug in the latest version? I should never upgrade right away;

How do I delete podcasts files that now appear in the cloud when using the latest ITune version?

Most likely you have Office 2004 which are PPC-only applications and will not work in Lion. Upgrade to Office 2011. Other alternatives are:
Apple's iWork suite (Pages, Numbers, and Keynote.)
Open Office (Office 2007-like suite compatible with OS X.)
NeoOffice (similar to Open Office.)
LibreOffice (a new direction for the Open Office suite.)

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