PSE7 - Opening NEF Files Hangs

Hi, I'm new here so to you all.
I have upgraded to PSE7 and use a Nikon D300.
I use Nikon Transfer to down load my images.
PROBLEM:
If I try to open an NEF files for the first time in PSE7 (File>Open) PSE7 Hangs.
WORK AROUND:
I have set windows to use PSE7 to Open NEF files.
When I open the files in Windows Explorer PSE7 Starts up and Opens the files correctly in Camera 4.5.
After going through this process a .xmp file is created. I can then open the files in PSE7 using File>Open.
Any advice would be appreciated.

Hello!
Download and install the latest version of Camera Raw from the Adobe website, or better, through Help>Updates

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