How do I import/drag a downloaded template with 2 folds, PSD and HTML into GoLive 7?

The index page looks fine in Preview but broken up in Layout. I have been back and forth with their T/S but it slow and unhelpful, plus the guy keeps saying everything looks fine on his Windoze machine. I have the latest iMac running Leopard.

I tried the IMPORT feature, and also tried replacing the folders/files that a created with a new site in GoLive, with the files that came with the template.

THANKS!