Get Photoshop Elements. It isn't free, but it costs about a tenth of the price of the full version. Despite this, it is almost exactly the same. In fact it even has extra features. Admittedly it is slightly cut down, with fewer options within each of the available effects. However, it si still possible to make use of all of the effects that are available in the full version and cretae some damn good stuff. All of the usual file formats are supported and plugins, such as the DDS plugin for use in RTW skinning, all work perfectly.
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