Transparency Issues In CS4

I bought a new PC with Windows 7 so I upgraded from CS2 to CS4. Now when I try to copy and paste my clear background PSD files to an image or a colored background the background turns white instead of remaining clear. The tranparency is lost. Effects like drop shadow and stroke are rendered useless. How do I get it to work like it did in CS2?

Hey Chris,
I checked as you suggested and my drivers are up to date for my Video Card. Here are a couple of screen captures illustrating what is happening. The first is a logo PSD I created with a clear background. The second is what happens when I try to paste it to a red background. Do you have anymore ideas?
Thanks,
Matt

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