Image not appearing in e-mail but does in body

Issue Summary

Hi, I have been using HTMLEmail with mailmime (as suggested in your documentation). I really like your module and would like to use it with simplenews (its hard to find decent Dr7 modules that work). I have used the html--html.tpl.php file with the addition of a header :

<img style="float:left" src="http://www.mysite/sites/default/files/lsc3.jpg" width="150" alt="" border="0">

I have placed some text and an image in the body.

When I receive the e-mail (Outlook 2003 and Gmail), the code above is not converted (and doesn't display) but the body image is converted to src="cid:******". The inline image displays but the image above does not. Incidentally I had the same problem previously with I tried simply sending to mimemail (without HTMLmail). I would prefer to use HTML mail, though.

Thanks in advance for your assistance.