I am still having this issue and have not resolved it as of yet, still shows up in game and what not like it does in the video.
I am using gimp to do all this as I don't have photoshop, is there something in gimp that screws it up, I have tried the futa from the tut pack and the newer one futa 2.0 and both still do the samething, maybe its the image?
so many different things that it could be I don't know where to start lol.... I would love to get this working cause my texturing by hand is seriously sub-par to what I could do with alphamaps.
Anybody else come across this issue that got it fixed or aomebody that would know how to fix this? Or do I just need to get photoshop and try using that?