Thanks for your responses and I am aware of all the points raised. Disabling Go Back still did not clear the problem completely, although it did improve the situation, but there was still noticeable 'Dropout' - that's why I uninstalled it.

Johnnie, I wasn't using SD-Jukebox - I don't have it yet.

Again, just out of interest, (and a little bit of devilment ) I configured Window's own sound recorder to record for a period of 5 minutes, rather than the default 60 seconds. Set it up to record to CD quality ( Stereo 44.1Khz 16Bit). Re-installed Go Back, all background programs running as normal and recorded a sequence from the KN7000.
Guess What ?? Absolutely perfect results over the entire length of the recording - not the slightest trace of any distortion, dropout etc.
Also no excessive Hard Disc activity - just the occasional very short blip as the program writes to Disc. I had always regarded the Windows recorder as a bit of a 'Toy' but not any longer.
So, what's the big difference between the Windows Recorder and the supplied Audio Recorder Program ?? Apart from the Panasonic recorder allowing files to be saved after recording, in .WMA and .MP3 format, in addition to the .WAV format, which the Windows recorder uses.

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Willum