Custom extension that have been added to a previous version of Toad for SQL Server in the following way are not being recognized by SQL Server 3.2:
1. Create a simple query (select * from [table name]) then Save As and change the extension to FNC instead of SQL
2. Go to Tools | Options...
3. Select Environment | Extension
4. Click on Add then type a 3 digit extension (ie FNC) then click OK
5. Go to File | Open File and select the file you created in step 1.
6. Notice the file opens but with the following heading:
"Spreadsheet [file name]. FNC"
The file opens but there is no syntax higlighting.
If the extension were setup as custom associated extensions under options, removing them there will make these file types work correct in the editor again.
Waiting for fix in a future release of Toad for SQL Server.