If you want to just override textures then you can "create new from selected" from the resource manager ( provided you have created a folder and package under your project for it to be saved in). Then once named and saved, if you double click it, it will open a a material resource editor ( DONT open it with the material editor). Once the material resource editor is open you can select other textures and do the usual <- to copy the currently selected texture(GUID) into any of the material nodes that have textures, apply and save. Other than that, I have not found a way to create new materials with the material editor, as noted previously no .lsb files are created, and if you try other methods you get error messages saying you have to save the files into your project area, and when you do that you get a error message saying they must be saved in the OS2 directories, catch 22
