Hello and a question about reference images?

 From:  anycolorilike
Hi, I just started playing with this great new toy yesterday. Thank you for a great modeling tool.

I set up a reference image and tried to get started but the image comes in with bits "wrapped"? I checked this image outside MOI and it appears fine. I made sure it was 1:1 proportions (it's 2300x2300). I also tried both jpg and PNG versions of it.
Are there any other requirements?