I knew about this particular flaw for some time . (honestly I found it by accident, like I think the the security researcher from secunia did...or maybe it leaked from where I posted it?!?!?!!! :P).
This could be a bit more critical if :
1) a '\' (not a '/') was placed at the end of the command line followed by an arbitrary name which could be eg. '\mypicture.bmp ' then at the object icon, a real bmp icon is set and the object name set to 'mypicture.bmp' so that the packager would precisely show only 'mypicture.bmp' at the warning msg n not a part of the command line as it would appear if a '/' was put instead of '\'.
2) renaming the .RTF file to .WRI, that would make the file be opened in wordpad since by default WRI files are opened in wordpad even with MS Word installed, and therefore not needing to embed a wordpad document in a word / powerpoint / excel and then less user interaction would be required. Plus if u embed a real picture in Wordpad it does NOT show the picture, it shows the default icon for that kind of image, eg. a bmp picture. MS Word, on the other hand shows the picture inside the document not an icon.
well dont panic it is patched by now ;)