The suggested cause for China's infavorable overseas views is due to the secretive military spending? That's the most ridiculous suggestion I've ever heard. I doubt overseas civilians worry about China's secretive military spendings. If your report is true, then Madaline Albright was most likely working for the English government and trying to make China talk more. If there is a decline in favorable views, then it is mainly due to China's lack of soft power. China's movie industry needs to become far more popular in overseas markets in line with her going economic power. China's animation industry, gaming industry, and other areas also need improvement.
As for the pictures, they might be real, possibly used as dummies to misguide foreign intelligence satellites or as early prototypes. It's not as if other countries don't know about the WZ-10 development already.
Actually, I think there is an increase of favourable view from foreign Chinese and Muslims here in ASEAN.. And from the net, I have a notion that there are more positive views from westerners from before, perhap due to more interaction.. (except in pro americans forum). I have argued with many westerners and phillipinos bitterly defending China from issues like Sudan, Tibet to XinJiang (especially Xinjiang - since it's history is seriously twisted by the EAST Turkistan (does not even exist)- 3000 yrs homeland, Turkis homeland is not in Xinjiang and they only ruled for all of 80 yrs before routed by the Tangs) .
And recently, I am surprised that these very members are actually standing up for China, where and when it's needed.
In fact, more Chinese with English skills are posting on forums than before. Perhaps, their english have improved and are defending their country. Sadly, many are banned for defending, while much much more insulting and bias western members are let off the hook.. mainly Americans (not a smear, Seriously). Just visit MP.net... 3 to 4 members were banned for small infractions.
Sorry, for ranting.