Greyscale showing as redscale

[dc_roenfanz]

I am having this problem with an image im trying to create for UI Builder. I am converting a JPG to DDS in Photoshop, but for some reason everything that is supposed to be in shades of grey (its a skull & crossbones) shows up in shades of red in UI Builder. Maybe I'm doing it wrong in Photoshop, I dunno. Attaching the DDS format and the JPG format, as well as the screenshot within UI Builder

Please help!!

Darrin