$11 FT 80/160 T8s, TPWK fold to flop action?

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Should I have known better on the flop when I got action?

Full Tilt Poker
No Limit Holdem Tournament
Blinds: t80/t160
7 players
Converter

Stack sizes:
UTG: t1330
UTG+1: t2280
MP1: t2715
CO: t2625
Button: t1015
SB: t2135
SuperHero: t1400

Pre-flop: (7 players) SuperHero is BB with 8[img]/images/graemlins/spade.gif[/img] T[img]/images/graemlins/spade.gif[/img]
3 folds, <font color="#cc0000">CO raises to t320</font>, Button folds, SB calls t240 <font color="aaaaaa">(pot was t560)</font>, SuperHero calls t160 <font color="aaaaaa">(pot was t800)</font>.

Flop: 7[img]/images/graemlins/club.gif[/img] 8[img]/images/graemlins/heart.gif[/img] 3[img]/images/graemlins/heart.gif[/img] (t960, 3 players)
SB checks, <font color="#cc0000">SuperHero bets t350</font>, <font color="#cc0000">CO raises all-in t2305</font>, SB folds, <font color="#cc0000">SuperHero calls all-in t730</font>.
Uncalled bets: t1225 returned to CO.

Turn: A[img]/images/graemlins/spade.gif[/img] (t3120, 0 player + 2 all-in - Main pot: t3120)


River: J[img]/images/graemlins/spade.gif[/img] (t3120, 0 player + 2 all-in - Main pot: t3120)


Results:
Final pot: t3120
<font color="#ffffff">CO showed Kd Kh</font>
<font color="#ffffff">SuperHero showed 8s Ts</font>