The demonstration menu bar above is produced solely by a style sheet in the HEAD section, plus HTML, and uses a JavaScript to switch styles when the mouse is passed over the items in the menu. There is no need for graphics at all. Unfortunately it only works with Internet Explorer 4 and later, so it is not of much use at present.
Note: If you use this script, make sure it is placed after the items in the menu, not in the HEAD of the document.