Fade

Open any picture you want to use.


Open the Layer Pallet.

Right click on the blue bar of the layer palette.
Duplicate.

Delete the original layer.

Click the selection tool 
Then the control palette.

Feather about 17. 
(Depends on your graphic)
 

Hold the CTRL button down,
Hit C (for Copy)
Hold the CTRL button down,
Hit V (for new image)

Open an Image 1024 X 300
(Or the height of your image)
Click on the feathered image to make it active.
(Blue at the top)
Click and hold 
the Blue Bar on the layer pallet,
Drag to your new 1024x300 image.
(Notice the arrow)

Flood fill 
Layer one, (Bottom layer)
with a color from the picture.

Move the slider bar down on the 
copy of the background
(top layer)
 to the fade you want.

Merge visible

Here are some samples using the Texturizer plug in.

Canvas

Burlap

Sandstone

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