Flash Gallery Modification and Preloader

I have a Flash gallery page which I have built and it is working almost perfectly. The one fault is that the logo in the top left corner is distorted when put into its html container to scale on resizing. You can see this on [login to view URL] This does not happen when previewing in flash. I have the logo and can provide it any format such as .png .jpg etc. I also have the .fla source file in both CS4 and CS5. The thing I need done is to get the distortion stopped when viewing online. I think the problem is the html code which resizes the gallery to fit the browser window. I can also provide the html code which the .swf sits in. I also need a preloader to appear on the gallery page at [login to view URL] to show that there is something loading.