you need to create an alpha channel. In photoshop cut out the image then select it. Then go to the channels tab and click save selection as channel this new channel will be the alpha channel.
If you can't get it let me know i'll record a quid video.
Dave
From a readers' Q and A column in TV GUIDE: "If we get involved in a nuclear war, would the electromagnetic pulses from exploding bombs damage my videotapes?"