This is not reproducible in ArcGIS 10.1 Beta 2.There are three ways to work around this issue:1. Export the jpeg2000 to another format (i.e. TIFF, IMG) and use that as the input for image classification.2. Outputting the classified image to a geodatabase, instead of a folder, will correct the issue for some images (i.e. DO_N16_8717_40.jp2), but does not always work (i.e. 1ft color1.jp2).3. Outputting the raster in .img format will correct the issue for some images (i.e. DO_N16_8717_40.jp2), but does not always work (i.e. 1ft color1.jp2).