Help with news script

I have been using this PHP script for sometime now it works great,but I
would be nice if it had the option to use images.I was hoping someone could
take a quick look and see if it’s possible to rework it.As over all it works
fine for my needs but would be nice if it was possible to post images.
I have posted the code here
I have read loads on this I know I will need to resize,rename the image,
I just don’t know where to start…