can't save specific extensions (first problem with 7)

Ok well I ran across my first problem with 7, today I tried to download a power point file from my school and under google chrome it saved as "file" instead of .pps ok so I thought this was maybe a google problem (even though it never happend in vista) tried with IE8 and had the same result. I eventually saved the file by adding .pps at the end of the file name but I am curious as to why it doesn't give me a list of options as to what I want to save the file as? I tried to download a picture with the same result, no option as to what to save the file as but with the picture it automatically saved as a jpeg.

under save file as it says "all files"

Any ideas?

ok I found out that if I click on the link(description) it saves as file

But

if I click on the download pic next to description it saves a .pps file

maybe this was what was causing the issue