How to create a folded booklet with Acrobat from PUB or DOC

I have created a booklet (catalogue) for an art gallery opening. We have used Microsoft Publisher (We have a Microsoft Word version as well)

When a PDF is created (from either Publisher or Acrobat 8), the formatting is lost in the process.

The booklet is folded, in half, and is formatted to use letter size (Each page is 8.5 x 5.5)

I purchased Acrobat 8 because the Printer (PrintThree) said they would only accept PDF files. I was told this was a good application to acomplish that.

Description: An example of the document type I want to have in PDF format is an 8 page document that should be printed 4 pages to a sheet. (An 8 page booklet would use two sides of two 8.5 x 11 sheets of paper)
One Sheet would have pages 4&5 on one side, and pages 6&3 on the other.
The other sheet would have pages 1&8 on one side and pages

When the conversion is complete, Acrobat recognizes 4 pages.

example: Page 6&3 are one "page". I have tried all kinds of combinations of print and page settings. The best I can get is a "bound" booklet where Acrobat has resized the pages to take into account the area required for binding. It does not have a folded booklet setting.

I would get someone to just create a booklet in Acrobat (well, it would be me manually cutting and pasting) if I could even figure out if Acrobat 8 will allow a folded (no extra room needed for binding) booklet.

Any ideas?

Thanks