Textures in 3D window- solved

I have a model with several materials and vertex groups. I have a material assigned to the different groups. I select a vertex group, hit select, mark the seams and unwrap it after splitting the window into a 3D and UV window. I open an image into the editor, it shows up on the grid, but doesn’t show up on the model when I am in texture mode (alt-z).
I have redone these steps with simple objects and I can see the textures in the 3D view, and manipulate them via the UV editor which is cool, but for some reason the texture doesnt show up on my model’s vert groups, so I am guessing I have inadvertently clicked a button somewhere that is preventing me from seeing the textures. I have checked the normals, the texture will render, it is on the model, and if I manipulate the UV version it affects he render, I just can’t see it in real time. Using 2.47, model built in 2.46. Thanks.

Edit- OK after 2 days I finally found the answer myself! For some reason the draw button in the object buttons was set to solid, not shaded, in my file. Well, hopefully this will help someone down the line.