Well I have now update MT to 3.12.1 and have started to revisit the page header. The new compact header layout seems to work quite well. Need to re-work all of the additional content, infact I have droppped my PHP templating thingy I wrote years ago, and have decided to just use MT for everything since Smarty is now integrated into MT. In fact I have even enabled dynamic pages and so far so good, no more static archives. I still need to fix the archive and permalink templates. However I think the content is more important which is what I will press on with.
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