Well. I could not get pngs with transparent alpha layers to show properly as a background image. The hack worked great for regular images. So...I finally upgraded to the new version. And you know what? Still doesn't work with background images...and now if a png image doesn't have height and width it just doesn't display in IE for windows. It's odd...cause before, it would just show the grey background, but now the image disapears altogether.
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