Lightroom 4.0 flattening previously edited files when re-editing in Photoshop?

[SamNYC]

Hi,

Something changed recently. I used to be able to add adjustments in Lightroom then right click and select "edit in Photoshop". After adding layers and additional edits, close with save. New file would appear in my Lightroom stack. If I selected the new image without having made any lightroom edits and select "edit in Photoshop" again. The tif would open with my previous layers still intact. If I make changes and close and save. I will see a new image in my stack. 

Now that workflow is broken. I am able to "edit in Photoshop" and save without a problem. However, if I decide to I want to re-edit the tif in Photoshop all of my layers have been flattened to a "background" layer. 

I found where the originals are stored locally, and able to get the layerd files from there, but that is an inconvient workaround. Anyone know I how to fix this? I have a sneaking suspiscion the behavior was broken by the addition of cloud documents.

Thanks.

[SamNYC]

UPDATE: Originals are saved locally and have layers intact. Reverting back to 3.4 fixes the issues and photos edited in the Photoshop 2020 of 21 once closed and saved back to Lightroom will open again in the PS with layers intact. Of course this is not ideal as I did like some of the new features of 4.0. If anyone has any ideas or fixes please let me know.

Thanks.