I agree, guess I didn't make that clear enough in my message. The import works fine. The problem develops after you start editing and adding places, and as you have pointed out, run optimize. I had done a lot of editing that did not affect places prior to begin working on my places which is why I had several backups that were correct and I was able to go back to in trying to isolate the problem.
I would encourage all those switching to TMG to subscribe to the TMG-L list as that is where all of the activity is and not everything ends up getting posted to this board or the TMG board on GenForum.