On my fresh install of cs3 with updated patches from adibe's site
I get the following error when attempting to use the image processor:
"script alert sorry i could not process the following files"
then it list all the files i'm attempting to process.
I vaguely recognize that symptom, but sorry I don't remember the cause or cure. What I do remember is it led me to the Russel Brown "1-2-3" script which replaces the default Image Processor. It worked and has more features.
Russell wrote the original Image Processor that Adobe distibutes, but then offered his upgraded version for free. Recommend you find it and try.
Thanks for the correction. It's been quite a while since I've used a 40D with CS3, and that update must have been released after I stopped using both. Too bad the OP is still having his problem, though.