Phototshop or Apple? Changing file format

It used to be that if you saved a Photoshop doc in a different format, it would just append the new format's code instead of .psd or whatever. Now, it is adding the word "copy" to the title of the file. Very annoying to have to either change it each time or stick with the silly file names. Also, it used to save in the same folder you were working in -  now it saves to an entirely different folder - the parent folder to the one I was working in.

Is this some change that Apple made or Adobe made? If it's you guys, please change it back.