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Someone suggested ensuring that gd2 was installed. I believe we began getting these errors after installing gd2. From what I heard, gd2 is needed so I’m looking for any help or suggestions with these errors.
Some interesting, and unexpected, progress. I uploaded an image for one of the products and when I went back to look at the store view the errors had gone away. Now placeholder images only appear for products in the right-hand column, while the others have a missing image icon. Definitely weird behavior.
Issue fixed. This was actually caused by our customization. In Magento v1.0 a new categories folder is included for product images. This was not in our original configuration since we were customizing based off v0.8xxx. Thanks to all for the help and suggestions. Hopefully this saves someone time in the future.