Error on Range.ReplaceFormat statement Excel VBA

[FredZimmerman]

Sub ReplaceCellContents()

Application.ReplaceFormat.Font.FontStyle = "Bold Italic"

Range("A1:G16").Replace What:="Seattle", Replacement:="San Francisco",
ReplaceFormat:=True

End Sub

When I try to run this VBA macro ReplaceFormat is hilighted, and error
messsage:

Compile error:

Named argument not found.

Comes up. This code was taken straight from Excel Programming text.

Fred Z.