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After you have downloaded the office2007sp2-kb953195-fullfile-en-us.exe file from Microsoft, make sure to create two different folders on a local drive.
For this specific example I will use D:. So, create D:\Extracted_files and C:\Updated_files.
Copy Office 2007 SP2 to the Extracted_files folder. Next you will have to launch command prompt. Just type cmd in the search box under the Start Menu and right click selecting Run as administrator, to enjoy full privileges.
Next you will need to run the following command CD D:\Extracted_files\office2007sp2-kb953195-fullfile-en-us.exe /extract:D:\Updated_files.
During the extraction process you will have to agree to the End User License Agreement (EULA), but otherwise you need to do nothing. Once the Installer is done you need to move all the content of the Updated_files folder to the Updates folder in the Office install folder, and this is pretty much it. The result can be burnt on a DVD or saved locally or on a network share.

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