There has been a new issue identified where ArcMap tends to crash when saving an MXD that references a picture with an invalid path. This is for ArcGIS 9.3.1.
Some instances were reported in ArcGIS Desktop 9.3.1, where ArcMap crashes when saving an MXD that references an inserted picture, whose folder path cannot be found.
A workaround has been posted. This can be found here: http://support.esri.com/index.cfm…