Sure the problem you’re having is unfortunately due to Photoshop 7 's :( stupid build. It doesn’t handle .tga with alpha channels easily and it's garbage with .png file format just ask any jka skinners out there. I used photoshop 6 and or cs aka 8 for kotor skins there are no hassles.
I must point this out but before saving make sure you have only one extra channel in your channels and it ‘s named Alpha1.
Now when saving the 32 bit .tga in PS 7 try saving it as a copy then manually remove the copy part of the name after you have saved it . To be sure the alpha channel is still there reopen the tga to check.
I had ps 7 and removed it because of how it treated tga’s it was like pulling teeth to get a .tga saved with the alpha channel. With PS cs and PS 6 it’s a breaze
I have the answer you seek if only I checked a search engine awhile ago :smash: sigh*
http://www.adobe.com/support/techdocs/2c21a.htm?code=TA)
Now I’m not implying you have a warez copy of ps 7, but if you do…. Use the second option to dl the .tga plugin from the site upgrading to 7.01 is a bit of a pain and not really worth the dl.
Here is the link for the working .tga plugin
http://www.adobe.com/support/downloads/thankyou.jsp?ftpID=1544&fileID=1478)
1. Make sure Photoshop is not running.
2. Download the archive file that contains the Targa plug-in and
its associated ReadMe file.
3. Use WinZip or PKZIP to extract the contents of the archive file.
4. Locate the Photoshop 7.0\Plug-Ins\File Formats folder.
5. Drag the extracted Targa plug-in into the File Formats folder.
6. In the resulting dialog box, click OK to overwrite the existing
Targa plug-in.
7. Launch Photoshop 7.0.
I think this will help a few people here :D
svцsh