How to process CR2 files from Canon 40D with Photoshop CS2

Well, both CS2 and Lightroom 1.0 can not read new CR2 format intorduced by 40D (firmare ver. )
There are 3 options to keep workig with raw workflow:
1) convert CR2 to DNG using Adobe (free) converter DNG 4.3 (note, only 4.3 can do that; 4.2- can not!): http://download.adobe.com/pub/adobe/photoshop/cameraraw/win/4.x/DNG_Camera_Raw_4_3.zip

2) upgrade to CS3/CS4 or Lightroom 1.3/2.0

3) use Canon's DPP tool to convert to TIFF or JPG or whatever. But TIFF or JPG workflow is far of workflow flexibility with raw data (CR2).

Personally, I ended up with upgrading to Lightroom 1.3. It took me some time to adopt to LR workflow, but now I almost do not open Photoshop anymore for the photo editing.