After installing Office 2010 everything worked perfectly except for Citations & Bibliography. Installing SP1 did nothing either. Eventually I remembered installing MSXML3 and MSXML6 in wine for Office 2007. Just select install software, go to the bottom list, expand it and look for those two components into the same bottle as your office installation. If anybody else uses this powerful tool and has run into the same problem just do this fix. You might need to simulate a reboot. This might also fix some other broken components. I know a few other people who struggled with this as well.
Symptoms:
Manage citations not working
Insert citation gives error
Cannot select citation style (Just a weird box)
Solution:
Install MSXML3 and MSMXL6
System:
Kubuntu 12.04
Dell XPS17