Bake result problem on a dark material

Hi there, I am having a problem with this baking output.
Ver 2.7, Blender render, the material is a simple black with a specular
Baked 200 samples, RGBA and 16 bit color depth. I tried messing with other settings but still the same result: the smooth between the different shades is missing. When a lighter color is applied the result is just fine, but appears only when its a darker color.

Is anyone familliar with this? I usually use cycles but for this simple material the whole scene and lighning were set up in blender render.
Please let me know if any other info is needed.
THANK YOU:cool: