yes i am viewing in IE6 as i am on a corporate network that does not have IE7 installed yet. once i have this working in IE6 i will then start testing for IE7 at home.
those size values are the size of the div that the image is contained within. they are arbitary values for the moment as the content displayed within them will nearly always be bigger than those values.
the problem itself is getting the png to display properly. the transparancy works, but it still displays either a white or transparent line around the image and the little box you get top-left in an image before it has loaded. i am also experiencing the same problem with another png so im guessing that its my transparent png code thats wrong. i am using:
myWidth being a variable calculated depending on window size.
<img id="gradient" STYLE="filter:progid:DXImageTransform.Microsoft.AlphaImageLoader (src=\'graphic_gradient.png\',sizingMethod=\'scale\');" height="60" width="' + myWidth + '" />