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To add to Frank's note, I also found recently that I had better luck with a B&W image as opposed to a Colour image.
Start with a really high, high resolution .bmp file. Open it in MSFT Paint and reduce the image size. There will still be a limit as to the clarity of the image in Report Writer but if the image you start with is high enough resolution, it should render in an acceptable fashion.
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André Arnaud de Cal...
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