The iPhoto help entry says "You can change the design of ANY page, including the front and back covers. For a hardcover book, you can change the design of the dust jacket." I have been able to change the FRONT of the dust jacket for an 11 X 8.5 hardback (in the contemporary theme, not sure if that matters) to anything I want by designing the page in PhotoShop and saving it as a jpeg.
However, I can't seem to change the BACK of the dust jacket, or the end flaps. The BACKGROUND options for those pages don't show the little palm tree, and the LAYOUT options don't have an option that's just a photo. So I have this really cool front cover with a photo on a black background, but it looks dorky with gray end flaps and back cover. Did I miss something? Is this a bug, or a "feature?"