ok once you make the pictures into thumbnails, and then you go to save the web site, its going to ask you to save the pictures as well. you need to upload them to your server so that it will work.
=)
after you make a thumb nail, you need to upload the small picture.
when you save the page with the hyperlink, the picture is now called, ex. file:///C:/DOCUME~1/ALEX~1/LOCALS~1/Temp/FrontPageTempDir/me_small.gif
the in front page you need to dubble click on the picture, i will come up with picture properties. then on the top of that pop up it will say general on a tab, click on that. this will bring up some things. what you need is to click on where it says picture source. and add in the hyper link that comes from the picture.
hope this helps,
dont hesitate to ask any questions
-alex=)