Look at the original photo in the article (the small one). It is a different photo than the one posted from the Time site. It is taken from a slightly different angle (or Obama had moved) and Richardson and Shrillary and the other woman are looking in different directions than the Time site photo. That one has the flag also. Did this photoshopper photoshop a whole series of pictures and choose the best one? Seems like a stretch to me.
Upon further review the original photo was taken from an angle slightly to the left of the Time site photo. Look at the position of the flowers (in front of Richardson’s left foot in the Time site photo and in front of Hillary’s feet in the original one).