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If you're using a WMV as your transfer file, Premiere Elements won't be looking for the native photo files. (It's also not the best way to transfer a slideshow to Premiere Elements -- but that's another issue.)
Look in your Project Media panel. Is this file listed there? If so and you're not using it (even for a DVD menu background) you can right-click on the listing in the Project Media panel and select Clear.
Thank you so much for your reply.
When I check the panel menu, the file is not there and I think that is because it is embedded in my wmv file that I created in Photoshop elements 6. That is my guess. The wmv file is in the panel menu though.
Please share with me the best way to transfer my file to Premiere Elements. I do it that way because when I first called adobe tech support the guy suggested that I save it that way. Their tech support many times seemed like they did not know what they were doing (although to be fair, there were a few techs that were very helpful).
Anyway, please share with me because I want to learn how to do this the best way possible.
Thank you and Happy 2009!
Since version 5, Photoshop Elements has incorporated into its workflow a slideshow interchange format, which sends the slideshow to Premiere Elements at full quality. You can even break the file apart in Premiere Elements and continue to work with the native photos!
It only works with matched versions, however. Which means Photoshop Elements 5/Premiere Elements 3; Photo Elements 6/Premiere Elements 4; Premiere and Photo Elements 7.
To use it, just select the option to Send to Premiere Elements from the Photo Elements Slideshow Creator. (I do recommend, for best results, that all of your photos are no larger than 1000x750 pixels though.)
There's much more information and step-by-step instructions in my Steve's Tips article in the members area at Muvipix.com.