Let me take a wild stab in the dark here: you used PSP to edit it and now you get grey areas around your icons.
For you or anyone who gets this (this is quite common), this is a pallette confusion problem which is the fault of PSP. You see the last colour in the pallette, index #255 (135,135,135) is the same as index #16, and when you paste an icon into the cities.gif file PSP automatically assumes the grey background is #16 rather than #255. Hopefully this problem is confined only to the new icons you've pasted in.
The solution is to edit the pallette and change the colour of #255 (say, 135,83,135) so that you can see the other grey, then simply fill it in with the #255 and save.
Civ2 doesn't care what colour #255 is as it's transparent, so you don't have to change it back if you don't want to.
If this isn't the problem can you provide more details.
------------------
Ideological conviction quickly degenerates into insistence based on ignorance.