Tried that as well! ok for small files and fails from tga or psd to dds!

I just tried DXTBmp to open the tga file, all I get is this error:

I ran out of memory!! Gee I only have 2gig! This file works as a tga file in SH3 & 4, I can open in Photoshop save as in any format but not dds!
Edit: @ DRBeast, files cannot be exported to BMP or will lose info such as Alpha channels & layers.