Hello, here are a list of programs I know will do this effect for you.

PhotoImpact by ULead (http://www.ulead.com)
Photoshop by Adobe (http://www.adobe.com)
Paint Shop Pro by Jasc Software (http://www.jasc.com)

I personally use Photoshop 6.0, however the pricetag of $600 may be too steap, as this is a professional graphics tool. All of the above programs will do this and more, with Photoshop doing the most.

I do know Photoshop now has a lite version for I think $99, which does what you need and more, I think this is what I'd recommend the most.

Hope this helps,
Bryan Smith