Okay...I think that I found the reason but, I don't know the why...it concerns the Cache Levels within
the Preferences>Performance section. Default is set to 2, I had been using 6 (don't remember why).
Anyway...when you choose anything twixt 2 and 8, you get banding. But, if you set it to 1 and repeat
the whole process...banding is major league reduced.
As a reminder, I opened an image>filled it with 05, 05, 05>duplicated with CTRL J>
filled with 250, 250, 250>applied gradient mask...very minimal banding with Cache Level set to 1.
Now, before you assume that I'm an effing genius...I found this...
http://feedback.photoshop.com/photos...assive-banding