Ralph, sorry to say that PSE is the only application on my computer that refuses to recognize disks greater than a certain size. I get the PSE message "Disk Full", which is odd considering that I have nearly 1/2 TB free. I just save to smaller capacity drives with no problem.
It works just fine otherwise and I have been using it happily with this one glitch plus one other. It is sometimes unpredictable when using the clipboard to copy and paste pictures on Windows 7.
PE