Importing SharePoint 2007 list templates (STP) into SharePoint 2010

1. Rename the original .STP to .CAB
   
2. Extract its manifest.xml to a local folder (lets call it {workingfolder})
   
3. Search for the ProductVersion element. This should have a value of 3
   
4. Change its value to 4
   
5. Repackage the manifest.xml into a .CAB. I've done this by using makecab.exe in the C:\Windows\System32 folder
   Syntax: makecab.exe {workingfolder}\manifest.xml {workingfolder}\{template-name}.cab
   
6. Change the generated cabinet's extension from .CAB back to .STP and upload it into the _catalogs/lt

Example:c:\Windows\System32>makecab.exe C:\Users\Administrator\Desktop\QueriesList\manif
est.xml C:\Users\Administrator\Desktop\QueriesList.stp