>Have you figured out a solution for this problem ?!
>I use smaller pngs but whenever mouse hovers them (especially if they have controls above them - zorder(0) they flicker and leave a messy redraw)

No, I have not. And that's too bad because PNG transparency adds a much needed graphics feature to our VFP apps. The only alternative I I can think of, is to use the GDIPlusX library from VFPX.