Taff,
thanks for your help. I think the problem has to have something to do with the fact that I am on a mac because when I open the file that your created (thank you) which we know works I get the same error. But when I open it on a PC it is OK, although only with control points not components which is what I really need. So for now I will just create the point clouds on the PC and then bring it back to the MAC. Thanks again for your help and if you have any idea how I can replace the points with geometry that would be great.
Thanks Again
Uberchurch