PLEASE HELP! graphic conversion question

I am using Flash MX 2004 and I’m having trouble converting a graphic!

The graphic was orginally done in Illustrator 10. I then used the save for web… option and saved it as a .jpeg w/ the quality level set to 10. When I import it to the stage, it looks perfect, but when I test the movie the graphic gets all grainy and I have NO idea what to do. I tried saving in every format possibe… .png, .gif, I even was able to export to a .swf file and still the same thing happens. Really weird. I also used ImageReady and Photoshop CS AND Fireworks MX 2004 to export the image to different formats… still the same result.

So I figured it was something with Flash. I tried opening the graphic and placing it inside its own movie. When I tested the movie it worked fine! I’ve concluded that there is something funny going on with the import function in Flash MX 2004. I have no idea what to do…