If you're in a hurry, you can look over my ancient (and Bryce-y) tutorial. Just ignore the Bryce stuff. What you're working with is the SDTS type of DEM file. It has to be converted to an ASCII type DEM (which is covered in the tute). The old standard DEMs import nicely in Vue4. http://www.big-i.com/tutorials/DEMs.html Martin and I are just getting started on a new set of tutorials based on Vue4 and the current DEM standards. We hope to post something in a few weeks.