ruddervader

John,
If I have one of the few bmp images up as desktop background, open photo gallery, right click on an image and click "set as background" the existing background dissappears and is replaced with a solid black backgound. Right clicking on any other image including bmp files and clicking on "set as background" produces no results.
If I right click on the desktop and select personalize and select a bmp file it will set as background but no jpg file will. For example, if I open desktop background and change location to "Windows Wallpaper" I only see placeholder icons in the file viewer pane. If I click on browse I can see the thumbnails in the browse viewer pane but if I select one and click "open" the background switches to the background color but no image is displayed.
I can't help but feel that there is some obscure setting I am overlooking but it escapes me completely!
P.S. Out of desperation I installed an old SofStuff screen saver program and it works perfectly, setting wallpaper and running the screensaver. (I have uninstalled it now)
P.P.S. Yes, the Vista screen saver works, if I choose Photos it displays them normally.