Bizarre bug in Camera Raw 7.3 or Adobe Algorithms??? Grayed out areas of the image

When converting raw files from Nikon D600 using CR 7.3 parts of the image appear grey and save that way. Converting to TIFF using Adobe DNG Converter didn't help but viewing and saving to TIFF in Preview showed none of the artifacts. Very bizarre and I am really looking forward to an explanation and hopefully a fix! Tried it on two machines now - same problem!!

The example photo had Defringe values were set too extreme for the picture content.   Here is a lynda.com video that shows how to back things off based on what you see on screen:
http://www.youtube.com/watch?v=cMfoLcfn8W8
Images should initially be opening with zero Amount values for Defringing.  This is how my defaults are:
  If not, then reset your camera raw defaults to the factory defaults:
After doing this, then if you really want something different than the factory defaults, open a new image, set those values and use the Save New Camera Raw Defaults item just above.

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    RicardoAngelo wrote:
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