Graphics in CFDOCUMENT

I am using <cfdocument> for the first time cause this sounded easier than using activePDF to creat my pdf files, but this is not working too well. My graphics files are showing up blank (missing graphic box with X through it). WHen I run the same code in my browser, then browser version graphics shows up fine, but when I put <cfdocument> tags aorund the exact same code, the PDF does not display the graphic.

Here is my code:

<CFDOCUMENT format="pdf"
filename = "c:\websites\websitefolder\PDF\THIS.pdf"
OverWrite = "yes"
Margintop = "0.01"
MarginBOttom = "0.01">

<table width="550" border="1" cellspacing="0" cellpadding="0">
<tr>
<td><img src="US.gif" ></td>
<td> </td>
<td> </td>
</tr>
</table>

</CFDOCUMENT>

The US.gif graphic shows up as missing on the PDF even though when I run the code outside the <cfdocument> tag it shows up fine??? Also, the scritp runs really slow. Is there a mapping problem here or something??

Please help - I just spent $5,000 and MX7, and my CF 4.5 with activePDF works a lot better than this.

Also, I updated MX7 to 7.01 - do I need to add more hotfixes??

Thanks in advance!