Java Update 10 includes very extensive changes to the graphics rendering pipelines, with Direct3D no longer supported on many older hardware platforms, which may be part of the problem. I'll do some investigating this weekend but it is unlikely that I will be able to resolve the issues within REW, may need to stick with update 7 or wait for update 11.
Edit: More info about update 10 here: Update 10 release notes. Note the encouragement to ensure you have the latest drivers for your graphics card.
Edit: More info about update 10 here: Update 10 release notes. Note the encouragement to ensure you have the latest drivers for your graphics card.