Office 2010 cannot save document to SharePoint Document Library

From Office 2010, when you save document to SharePoint, the save dialog does not display target SharePoint document library, instead it displays only path on local computer.

Resolution: Disable "Protected View" in Office 2010.
Steps: Word > Options > Trust Center > Trust Center Settings > Protected View
Uncheck the first 2 check boxes

Words nows display correct target SharePoint site.
See the screenshots below