Help needed. Photoshop skills required

[JKing]

Use PNG with alpha transparency so they'll antialias themselves to whatever background.

That's not acceptable. Transparent PNG is not supported by some unnamed Biggest Corporation's semi-browser. And due to great amount of users of that borwser we have to cope with it. So only transparency which can go is GIF.

If you use an indexed PNG with alpha transparency, IE6 will render fully transparent pixels transparent and everything else fully opaque. Essentially, this would give you GIF-like transparency in IE with more graceful transparency in other agents.