Try updating your graphics cards, it seems that Premiere is unable to communicate with your graphics card propely.
Check this link: http://support.amd.com/us/kbarticles/Pages/AMDCatalyst13-6WINBetaDriver.aspx and see if after installing this driver Premiere is working!!
Thank you for your reply VIK...I did check the link earlier with not results...I dont know what else to do.
Restart the computer in safe mode and check the behaviour of Premiere, if Premiere opens up fine in safe mode then contact AMD support for a compatible driver for your graphics card.
Thanks for contacting adobe forums,
Please provide us full details of the AMD graphics card.
Thank you for contacting me,
Processor: AMD A8-5500APU with Radeon HD Graphics 3.20 GHz
16 GB RAM
ASUS HD8350 Series