Thank you for your reply.
First the default image handling in Joomla allows you to take the first image of the blog or add your own to each article. The later is what you are showing in your image. I would like to have the default image handling (first article image) to work, as this is what I am using on all of our other sites, including the primary site we will be bringing content tables over from.
If using this method, we will have many years of articles (news and updates) to manually add the images to.
Please note that this works with Joomla's default templates and several others from clubs.
Multithumb is one I just installed, but did not work prior. I had installed it to see if i could override or add in the image in blog layout. Sadly this did not work. I have used multithumb on many sites.
As you can see if I switch it to another template this works fine. In fact the article you selected the IntroImage for shows up along with the default No Image.
Thank you so much for your time.