the code for that dropdown isn't all in one spot IIRC. did you copy all the lines for all of the entires, or did you just copy one or two lines at the top?
I think you also need this chunk if you don't have it.
Code:
<!-- / user cp tools menu -->
<if condition="$notifications_total">
<!-- notifications menu -->
<div class="vbmenu_popup" id="notifications_menu" style="display:none">
<table cellpadding="4" cellspacing="1" border="0">
<tr><td class="thead" colspan="2">$vbphrase[your_notifications]</td></tr>
$notifications_menubits
</table>
</div>
<!-- / notifications menu -->
</if>