Graphical watermark quality issues in Lightroom 3.3

I am having issues with the graphical watermark quality in Lightroom 3.3 (.png file). It seems to be resizing the imagine stranglely and creating aliasing on the font. This is happening on a Windows Vista machine. If I use the same watermark file and LR settings on a Windows 7 machine, the issue is not seen.
Here's an example. Note the jagged text as well as the top two lines spanning through the logo being darker than the rest: http://www.alisagarinphotography.com/wp-content/uploads/2011/02/kaufmann-9202.jpg
And here's the same watermark file and settings from the Windows 7 machine (no quality issues): http://www.alisagarinphotography.com/wp-content/uploads/2011/02/IMG_6043.jpg
Any ideas would be appreciated! Thanks!

Sure does! http://help.adobe.com/en_US/Lightroom/3.0/Using/WS43660fa5a9ec95a81172e08124a15d684d-7fff. html
I will give that a try - although it would defeat the purpose of having transparency in the watermark. Perhaps it will reveal an issue with the resizing of transparent png files.
Otherwise I think my next step would be to see if reinstalling lightroom will help anything - although it's very unlikely.
@PeterHolcombe - what system are you seeing this on? Also a Windows Vista machine?

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