#1. "RE: Something wrong with my PhotoMerge CS4 Win 7 64" In response to Reply # 0
It looks to me like Photoshop is trying to align the images rather than create a stitched panorama. It doesn't seem to be able to determine enough areas of commonality to line them up, so it is masking out entire images. There is a lot of complexity in those shots, and that might be contributing to the problem. You might want to try working with only two or three images at a time at first and see if that makes a difference.
Have you tried bringing the images into photoshop and then use the Edit>Auto-Align Layers function?
#2. "RE: Something wrong with my PhotoMerge CS4 Win 7 64" In response to Reply # 1
Thanks, Karen, I think you are right: the problem is with the images. I was just fooling around and don't really have to merge them for a project or client. I did try as you suggest and bring them in as layers, then edit-align layers and it acted the same way, even with just two images.
I guess Adobe never expected someone to make a panorama of dirty dishes