iMovie won't access iPhoto on sidebar

I've been using iMovie 6.0.3 for about 3 weeks now. When I first started to use it, clicking on the media then photos buttons allowed me to access my pictures from iPhoto. However, few days ago for some weird reason I get a message that says, "Open iPhoto2 or later or Aperture 1.5 or later to see photos from your iPhoto or Aperture library in this list."

I'm using iPhoto 6.0.6, I don't get why iMovie won't let me see the pictures from iPhoto!!! When I drag and drop the pictures from iPhoto onto iMovie it's fine, still allows me to play with Ken effects, etc. But I can't load it straight from using iMovie. Hope this paints a clear picture. If it doesn't here's a link of the screen to show you what I mean......

Any help is great, thanks.

I'm guessing no1 has a clue. Anyone?

let's start by finding out why it stopes working in the firtlst place. Did you do any updates recently, especially to iMovie? Has anything changed from the last time you were able to access iPhoto?