when creating morph targets always work with a copy of the object's original base obj that normally resides in the geometries folder or directory. (it may in fact reside anywhere on your system; if it's not in the geometries folder, check the cr2 file -- or the pp2, hr2, etc -- for the obj's path name.) do not work with objs exported from poser. the main reason for working from the base file is that the cr2 itself may be applying any number of transformations to the obj, which can cause any number of morph-related problems, including the ones you describe.