How do I Import a Bitmap into a Word Doc programatically?

Thank you all for your timely and helpful responses!  

I have decided to go with Alisher N's "InlineShapes.AddPicture()" suggestion as it has proven to be the best solution for my needs. The code that follows allows me to import the image exactly where I need it and delete the tag as I search the file for replaceable XML tags.

The VBA help from Word is a chore to go through - but an excellent suggestion, thanks Robert!

Thank you MNASMAN. Your suggestion successfully imports the image, but, it uniformly places the image at the top of the file - and then it would have to be moved around via it's Anchor (A process that I'd like to avoid if at all possible. :))

My successful code:
unit Unit1;

interface

uses
  Windows, Messages, SysUtils, Variants, Classes, Graphics, Controls, Forms,
  Dialogs, Word2000, OleServer, ComCtrls, StdCtrls, Buttons, clipbrd, Qclipbrd,
  IWControl, IWExtCtrls, jpeg, ExtCtrls;

type
  TForm1 = class(TForm)
    btnStart: TBitBtn;
    StatusBar1: TStatusBar;
    ProgBar: TProgressBar;
    WApp: TWordApplication;
    Doc1: TWordDocument;
    btnReplace: TBitBtn;
    ProgBar2: TProgressBar;
    Function GetWordDocStrReplacements(Sender : TObject; var ADocument : TWordDocument; ASearchFor, AReplacement : String) : Integer;
    Procedure GetDoc(Sender: TObject; sFile : OleVariant);
    Procedure ReleaseActiveDoc(Sender : TObject);
    procedure btnStartClick(Sender: TObject);
    procedure FormCreate(Sender: TObject);
    procedure btnReplaceClick(Sender: TObject);
    procedure FormCloseQuery(Sender: TObject; var CanClose: Boolean);
  private
    { Private declarations }
    sTemplateName, sFilename, varFalse, varTrue : OleVariant;
    sTag1, sTag2, sTag3, sTag4, sTag5: String;
  public
    { Public declarations }
  end;

var
  Form1: TForm1;


implementation

{$R *.dfm}
procedure TForm1.GetDoc(Sender: TObject; sFile: OleVariant);
begin
  WApp.Connect;
  Doc1.ConnectTo(WApp.Documents.Add(sFile, EmptyParam, EmptyParam, EmptyParam));
end;

procedure TForm1.ReleaseActiveDoc(Sender: TObject);
begin
  Doc1.Disconnect;
  WApp.ActiveDocument.Close(varFalse, varFalse, varFalse);
  WApp.Quit(varFalse);
end;

procedure TForm1.btnStartClick(Sender: TObject);
begin
  GetDoc(Sender, sTemplateName);
  Doc1.SaveAs(sFilename);
  ReleaseActiveDoc(Sender);
end;

procedure TForm1.FormCreate(Sender: TObject);
begin
  varTrue := True;
  varFalse := False;
  sTemplateName := 'D:\Work\Delphi7\wordplay\templates\Phase1Template.doc';
  sFilename := 'D:\Work\Delphi7\wordplay\Phase1.doc';
  WApp.Visible := False;
  sTag1 := '<month></month>';
  sTag2 := '<day></day>';
  sTag3 := '<year></year>';
  sTag4 := '<picture1></picture1>';
  sTag5 := '<picture2></picture2>';
end;

function TForm1.GetWordDocStrReplacements(Sender : TObject; var ADocument: TWordDocument;
                                          ASearchFor, AReplacement: String): Integer;
var
  I : Integer;
  Txt: String;
  iReplacements, iStart: Integer;
  Sentence: Range;
  PictureRange : OleVariant;
Begin
  iReplacements := 0;
  try
    ProgBar.Max := ADocument.Range.Sentences.Count;
    ProgBar.Min := 1;
    ProgBar.Position := 1;
    ProgBar.StepBy(1);
    For I := 1 To ADocument.Range.Sentences.Count Do
    Begin
      Form1.Caption := 'seeking tags';
      If I > ADocument.Range.Sentences.Count Then Break;

      Sentence := ADocument.Range.Sentences.Item(i);
      Sentence.Select;
      ProgBar.StepIt;

      iStart := pos('<picture1></picture1>', Sentence.Text);
      If iStart > 0 Then
      Begin
        Txt := 'D:\Work\Delphi7\wordplay\templates\1.bmp';
        Form1.Caption := ExtractFileName(Txt);
        PictureRange := Sentence;
        WApp.Selection.TypeParagraph;
        WApp.Selection.InlineShapes.AddPicture(txt, EmptyParam, EmptyParam, PictureRange);
        WApp.Selection.TypeParagraph;
        Sentence.Text := '';;
      End
      else
      Begin
        iStart := pos(ASearchFor, Sentence.Text);  // Text exists at all?
        If iStart > 0 Then
        Begin
          Form1.Caption := 'replacing tags';
          Txt := StringReplace(Sentence.Text, ASearchFor, AReplacement, [rfReplaceAll, rfIgnoreCase]);
          Sentence.Text := Txt;
          iReplacements := iReplacements + 1;
        End;
      End;
    End;
  finally
    Result := iReplacements;
  end;
End;

procedure TForm1.btnReplaceClick(Sender: TObject);
var
  I : Integer;
  mm, dd, yy: Word;
begin
  Form1.Caption := 'Loading doc';
  DecodeDate(Now, yy, mm, dd);
  GetDoc(Sender, sFilename);
  Form1.Caption := 'replacing tags';
  Application.ProcessMessages;
  ProgBar2.Min := 1;
  ProgBar2.Max := 4;
  ProgBar2.StepBy(1);
  ProgBar2.Position := 0;
  I := 0;
  try
    ProgBar2.StepIt;
    I := GetWordDocStrReplacements(sender, Doc1, sTag1, FloatToStr(mm));
    ProgBar2.StepIt;
    I := I + GetWordDocStrReplacements(sender, Doc1, sTag2, FloatToStr(dd));
    ProgBar2.StepIt;
    I := I + GetWordDocStrReplacements(sender, Doc1, sTag3, FloatToStr(yy));
  finally
    Form1.Caption := IntToStr(I) + ' replacements made.';
    WApp.Visible := True;
    Doc1.Repaginate;
    Doc1.Save;  // User intervention now required, show the form...
  end;
end;

procedure TForm1.FormCloseQuery(Sender: TObject; var CanClose: Boolean);
begin
  ReleaseActiveDoc(Sender);
end;

end.