Peter,
I'm assuming the file attached here is a screen grab. So what you are seeing may not be the file or an issue with the 5DII (and other cameras) but is an issue of the screen profiling or quality of the screen. Have you printed the file to see whether or not the banding shows on output even with heavy curves applied?
I would bet money, if you view these files on a higher quality monitor or better profile, the banding will not be present.
I am on an Apple 23" aluminum LCD. I've used an Eye-One II for years with the Eye-One Match software. I tried ColorEyes to calibrate and the quality of the profile is even better. But I still have not seen banding like that from these cameras.
The last time I saw sky banding like that was when I owned a Fuji S1 in 2001. The newest cameras have very clean gradations from raw files. I have owned a 1Ds, 1D, 5D, 5DII all have not shown that banding.
QUOTE (Peterretep @ Sep 20 2009, 08:29 AM)

In processing images in PS from raw 5d2 files (also seen with 1ds & 1ds2) clear blue skies will quickly show banding. When raw files are first converted to tifs they appear fine but with any manipulation of the sky the banding starts to become evident. This happens with files converted in both DPP and ACR. I work in either Prophoto RGB or Wide Gamut RGB color spaces 16 bit. Does anyone else have this problem? Can anyone provide information to lessen or completly avoid this happening?
Thanks for any help or info, its much appreciated.
Click to view attachmentPeter
Architectural Photography by Peter Montanti, www.mountainphotographics.com