Library Folders Second Level Missing

Hello,

Maybe you can help me. I use Photoshop for my job and depend on the libraries. I have first level folders then inside thosse I have second level folders. Today when I opened Photoshop and went to look for a graphic I discovered that my second level folders are gone and everything is just inside the first level. So no graphics are missing just the folders they were sorted into. Libraries are fine in Illustrator I checked. I tried rebooting creative cloud and Photoshop. Does anyone have a solution. I have attached an example folder, I had these sorted into folders by brand. 

Thanks for your help,

Alex