hi kbs,
i had a look at your pic. those areas are indeed 'blown out'. there is no data left in any channel. just the white. i dont have
PS, but i suspect it might rely on some data being there for that set point thing to work.
so, i didnt even try. i cloned. i just borrowed existing fur to make new in those blown out areas. the first picture is nothing but cloning. no other treatment at all.
the 2nd picture i altered the contasts a bit, the colors a bit, and did some more cloning and a curves adjustment on just the upper part of the nose.
if you have any other pictures with that same dog in it, you could clone from that other one onto this one and maybe get a better look.
Craig