Compressor 4.1.2  Blu-ray poor quality

I upgraded to Compressor 4.1.2 and my Blu-Ray disks became pixelated.  I wonder if Compressor 4.1.2 is deciding to use hardware compression at all times.  I tried multi pass, no multi pass, automatically select bit rate, manually set max bit rate, etc.  It just didn't matter, the 4.1.2 Blu-ray disks were "blocky" in places.   The disks were mostly comprised of photographs with almost no movement.  The file size for the bad disk was 197 meg and 478 meg for the good disk when both were created with the "multi pass" setting enabled. That inidcates I had uninstalled 4.1.2 and reinstalled it.  I tried throwing away compressor plists.  I also tried putting Compressor 4.1.2. on another volume that was not polluted with a bunch of installs such are Persion, Avid, etc.  That hardly used volume also produced a low quality Blu-ray.
I run the software on a 27" 3.5GHz i7 iMac with 16 GB RAM and a 512GB SSD.
The only way I could get back to good disks was to restore a pre-update boot Time Machine volume with Compressor 4.1.1 to an external volume.

File sizes without either bit rate or duration of the movie isn't enough information to go on.
Compressor doesn't use hardware acceleration with mult-pass. But if it did, with content that is essentially static, I would expect little to no difference.
The other piece of the puzzle is the source media file. What is it? What does Media Info or Videospec report?
Finally, how are you evaluating the Blu Ray output?
Russ

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