A report template is nothing more than a regular report (.rpt) file. It can be any RPT file. Templates are applied to other reports so that their formatting and layout can be used as a basis for the other reports. What is useful about the application of templates to other reports is that formatting is applied to the report as well as the layout. An example of this would be a report that has four fields in a detail section, where all sections are "squished" together before applying a presentation-quality template. After the template is applied, the location of the fields in the template would force the fields in the existing report to span out and possibly even change some font information, depending on the specific template.