brown color code on video time line

I have just upgraded to Suite 1.6.2 on a new MacBook Pro. On the composition tracks the video timeline appears a brownish color and when I cut it and try to delete the part that is cut out the brown time line fades a bit in color but does not disappear from the timeline although the image disappears from the monitor. When I drag the same brown video line into the regular A&B (not composition timeline) the video timeline turns into its regular color (either pink or green depending on sync on not) and the part of the clip that was cut up (but not disappeared in the timeline) is now disappeared in the timeline. When dragged back into one of the video composition timelines, it reverts to the brown color and the cut out portion returns as a visible representation on the timeline even though the actual video is gone.

Any suggestions?