diff --git a/ChangeLog b/ChangeLog
index a379b83890..4b877ee22d 100644
--- a/ChangeLog
+++ b/ChangeLog
@@ -1,3 +1,20 @@
+2000-07-20  Jean-Marc Lasgouttes  <Jean-Marc.Lasgouttes@inria.fr>
+
+	* src/Makefile.am (INCLUDES): remove image directory from include
+	path. 
+
+	* src/bullet_forms.C (create_form_form_bullet): small cleanup.
+	* src/bullet_forms_cb.C (BulletPanelCB): ditto.
+
+	* src/LyXView.C (create_form_form_main): read the application icon
+	from the disk.
+
+	* lib/images/*.xpm: change the icons to use transparent color for
+	background. 
+
+	* src/toolbar.C (update): change the color of the button when it
+	is toggled on.
+
 2000-07-20  Jean-Marc Lasgouttes  <Jean-Marc.Lasgouttes@inria.fr>
 
 	* src/lyxfunc.C (Dispatch): use LyXView::ShowState instead of
diff --git a/lib/images/buffer-close.xpm b/lib/images/buffer-close.xpm
index 752a72c8e0..e6dfd86bbe 100644
--- a/lib/images/buffer-close.xpm
+++ b/lib/images/buffer-close.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * close_xpm[] = {
 "20 20 5 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c #7B7B00000000",
 "X	c #000000000000",
 "o	c #9A9A94949494",
diff --git a/lib/images/buffer-export_ascii.xpm b/lib/images/buffer-export_ascii.xpm
index a75398fd3d..c19b1a837b 100644
--- a/lib/images/buffer-export_ascii.xpm
+++ b/lib/images/buffer-export_ascii.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * make_ascii_xpm[] = {
 "20 20 2 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c black",
 "                    ",
 " .................. ",
diff --git a/lib/images/buffer-export_latex.xpm b/lib/images/buffer-export_latex.xpm
index 088c96699b..984986d4f8 100644
--- a/lib/images/buffer-export_latex.xpm
+++ b/lib/images/buffer-export_latex.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * make_latex_xpm[] = {
 "20 20 2 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c black",
 "                    ",
 " .................. ",
diff --git a/lib/images/buffer-open.xpm b/lib/images/buffer-open.xpm
index 591c8bcfad..90b133ab5a 100644
--- a/lib/images/buffer-open.xpm
+++ b/lib/images/buffer-open.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * open_xpm[] = {
 "20 20 5 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c navy",
 "X	c #000000000000",
 "o	c #9A9A94949494",
diff --git a/lib/images/buffer-print.xpm b/lib/images/buffer-print.xpm
index 21d823790b..3c5b8253ca 100644
--- a/lib/images/buffer-print.xpm
+++ b/lib/images/buffer-print.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * print1_xpm[] = {
 "24 20 7 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c #000000000000",
 "X	c #FFFFFFFFFFFF",
 "o	c #7B7B00000000",
diff --git a/lib/images/buffer-typeset-ps.xpm b/lib/images/buffer-typeset-ps.xpm
index 1deb0b0192..1c8c0a2676 100644
--- a/lib/images/buffer-typeset-ps.xpm
+++ b/lib/images/buffer-typeset-ps.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * update_ps_xpm[] = {
 "20 20 3 1",
-" c #BFBFBFBFBFBF",
+" c None",
 ".c navy",
 "Xc black",
 "        ...         ",
diff --git a/lib/images/buffer-typeset.xpm b/lib/images/buffer-typeset.xpm
index 6986dc6a78..524663100e 100644
--- a/lib/images/buffer-typeset.xpm
+++ b/lib/images/buffer-typeset.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * run_latex_xpm[] = {
 "20 20 2 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c #000000000000",
 "                    ",
 "  . .. .  . . ..    ",
diff --git a/lib/images/buffer-view-ps.xpm b/lib/images/buffer-view-ps.xpm
index 090086b1fa..6d9ec40f6b 100644
--- a/lib/images/buffer-view-ps.xpm
+++ b/lib/images/buffer-view-ps.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * view_ps_xpm[] = {
 "20 20 2 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c #000000000000",
 "                    ",
 "     .............. ",
diff --git a/lib/images/buffer-view.xpm b/lib/images/buffer-view.xpm
index d1b71b313f..79dc0b2fd4 100644
--- a/lib/images/buffer-view.xpm
+++ b/lib/images/buffer-view.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * view_dvi_xpm[] = {
 "20 20 2 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c #000000000000",
 "                    ",
 "     .............. ",
diff --git a/lib/images/buffer-write.xpm b/lib/images/buffer-write.xpm
index b60de22668..ef2ba02bb5 100644
--- a/lib/images/buffer-write.xpm
+++ b/lib/images/buffer-write.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * save_xpm[] = {
 "20 20 5 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c black",
 "X	c gray70",
 "o	c gray90",
diff --git a/lib/images/build-program.xpm b/lib/images/build-program.xpm
index 6f091d5b0c..437dd19767 100644
--- a/lib/images/build-program.xpm
+++ b/lib/images/build-program.xpm
@@ -2,7 +2,7 @@
 static char const * build_xpm[] = {
 "20 20 4 1",
 ".	c black",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 "+	c white",
 "O	c red",
 "     ...            ",
diff --git a/lib/images/copy.xpm b/lib/images/copy.xpm
index f6e7abae1f..81e5e9d36a 100644
--- a/lib/images/copy.xpm
+++ b/lib/images/copy.xpm
@@ -2,7 +2,7 @@
 static char const * copy_xpm[] = {
 "20 20 5 1",
 " 	c #000000000000",
-".	c #BFBFBFBFBFBF",
+".	c None",
 "X	c #FFFFFFFFFFFF",
 "o	c navy",
 "O	c #B2B2ABABACAC",
diff --git a/lib/images/cut.xpm b/lib/images/cut.xpm
index 0ea70262b0..f7925f47b7 100644
--- a/lib/images/cut.xpm
+++ b/lib/images/cut.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * cut_xpm[] = {
 "20 20 3 1",
-"     c #BFBFBFBFBFBF",
+"     c None",
 ".    c #000000000000",
 "X    c #7B7B00000000",
 "                    ",
diff --git a/lib/images/depth-next.xpm b/lib/images/depth-next.xpm
index 1acee58000..11b9d76410 100644
--- a/lib/images/depth-next.xpm
+++ b/lib/images/depth-next.xpm
@@ -5,7 +5,7 @@ static char const * depth_xpm[] = {
 ".	c #000000000000",
 "X	c #FFFFFFFFFFFF",
 "o	c #7B7B00000000",
-"O	c #BFBFBFBFBFBF",
+"O	c None",
 "                    ",
 ".XXXXXXXXXXXXXXXXXX.",
 ".XX..............XX.",
diff --git a/lib/images/figure-insert.xpm b/lib/images/figure-insert.xpm
index 6a7c9bcf9e..9b3d06380a 100644
--- a/lib/images/figure-insert.xpm
+++ b/lib/images/figure-insert.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * fig_xpm[] = {
 "20 20 4 1",
-" 	c #000000000000",
+" 	c None",
 ".	c #FFFFFFFFFFFF",
 "X	c #7B7B00000000",
 "o	c gray70",
diff --git a/lib/images/font-bold.xpm b/lib/images/font-bold.xpm
index d484d886d2..46e86dc28a 100644
--- a/lib/images/font-bold.xpm
+++ b/lib/images/font-bold.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * bold_xpm[] = {
 "20 20 2 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c #000000000000",
 "                    ",
 " ...           .... ",
diff --git a/lib/images/font-emph.xpm b/lib/images/font-emph.xpm
index 15439b3c42..92bbade7fe 100644
--- a/lib/images/font-emph.xpm
+++ b/lib/images/font-emph.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * emph_xpm[] = {
 "20 20 2 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c #000000000000",
 "                    ",
 "         ..         ",
diff --git a/lib/images/font-free.xpm b/lib/images/font-free.xpm
index 3377eab419..124f93e442 100644
--- a/lib/images/font-free.xpm
+++ b/lib/images/font-free.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * free_xpm[] = {
 "20 20 2 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c #000000000000",
 "                    ",
 "                    ",
diff --git a/lib/images/font-noun.xpm b/lib/images/font-noun.xpm
index 0b0f40701c..e6c016701a 100644
--- a/lib/images/font-noun.xpm
+++ b/lib/images/font-noun.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * noun_xpm[] = {
 "20 20 2 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c #000000000000",
 "                    ",
 "         ..         ",
diff --git a/lib/images/font-sans.xpm b/lib/images/font-sans.xpm
index 3ec1a95833..1f1259bfae 100644
--- a/lib/images/font-sans.xpm
+++ b/lib/images/font-sans.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * sans_xpm[] = {
 "20 20 2 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c #000000000000",
 "                    ",
 "               .... ",
diff --git a/lib/images/layout_Scrap.xpm b/lib/images/layout_Scrap.xpm
index 49b0c5d701..687eb4b239 100644
--- a/lib/images/layout_Scrap.xpm
+++ b/lib/images/layout_Scrap.xpm
@@ -2,7 +2,7 @@
 static char const * layout_scrap_xpm[] = {
 " 20 20 3 1",
 ". c gray30",
-"  c #BFBFBFBFBFBF",
+"  c None",
 "c c black",
 "c                  c",
 " c           .c.c.. ",
diff --git a/lib/images/lyx-quit.xpm b/lib/images/lyx-quit.xpm
index c07adfde5d..82c0b8c552 100644
--- a/lib/images/lyx-quit.xpm
+++ b/lib/images/lyx-quit.xpm
@@ -3,7 +3,7 @@ static char const * quit_xpm[] = {
 /* width height num_colors chars_per_pixel */
 "    20    20        7            1",
 /* colors */
-". c #b2c0dc",
+". c None",
 "# c #4d4d4d",
 "a c #000000",
 "b c #737373",
diff --git a/images/lyx.xpm b/lib/images/lyx.xpm
similarity index 100%
rename from images/lyx.xpm
rename to lib/images/lyx.xpm
diff --git a/lib/images/marginpar-insert.xpm b/lib/images/marginpar-insert.xpm
index 874e3d7b89..42a804538e 100644
--- a/lib/images/marginpar-insert.xpm
+++ b/lib/images/marginpar-insert.xpm
@@ -3,7 +3,7 @@ static char const * margin_xpm[] = {
 "20 20 5 1",
 " 	c gray60",
 ".	c #000000000000",
-"X	c #BFBFBFBFBFBF",
+"X	c None",
 "o	c #FFFFFFFFFFFF",
 "O	c #7B7B00000000",
 " .................XX",
diff --git a/lib/images/math-mode.xpm b/lib/images/math-mode.xpm
index 89a3d14f41..60c3a0fe14 100644
--- a/lib/images/math-mode.xpm
+++ b/lib/images/math-mode.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * math_xpm[] = {
 "20 20 4 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c #242423238E8E",
 "X	c #000000000000",
 "o	c #FFFFFFFFFFFF",
diff --git a/lib/images/melt.xpm b/lib/images/melt.xpm
index f2af564901..9b287f6aad 100644
--- a/lib/images/melt.xpm
+++ b/lib/images/melt.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * melt_xpm[] = {
 "20 20 5 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c #000000000000",
 "X	c gray60",
 "o	c gray70",
diff --git a/lib/images/paste.xpm b/lib/images/paste.xpm
index 17eae2594f..ca37486208 100644
--- a/lib/images/paste.xpm
+++ b/lib/images/paste.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * paste_xpm[] = {
 "20 20 6 1",
-"      c #BFBFBFBFBFBF",
+"      c None",
 ".     c #000000000000",
 "X     c #E5E5E0E0E1E1",
 "o     c navy",
diff --git a/lib/images/redo.xpm b/lib/images/redo.xpm
index bebc8e7f7c..7d1369ae35 100644
--- a/lib/images/redo.xpm
+++ b/lib/images/redo.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * redo_bw_xpm[] = {
 "20 20 2 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c black",
 "                    ",
 "                    ",
diff --git a/lib/images/table-insert.xpm b/lib/images/table-insert.xpm
index bd7e66e5aa..3287a1eca2 100644
--- a/lib/images/table-insert.xpm
+++ b/lib/images/table-insert.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * tab_xpm[] = {
 "20 20 3 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c #000000000000",
 "X	c #FFFFFFFFFFFF",
 "                    ",
diff --git a/lib/images/tex-mode.xpm b/lib/images/tex-mode.xpm
index d107cf90ab..96aa33d95b 100644
--- a/lib/images/tex-mode.xpm
+++ b/lib/images/tex-mode.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * tex_xpm[] = {
 "20 20 2 1",
-" 	c #BEFBBEFBBEFB",
+" 	c None",
 ".	c #7B7B00000000",
 "                    ",
 "                    ",
diff --git a/lib/images/undo.xpm b/lib/images/undo.xpm
index 1d68d8553c..af1816fa4b 100644
--- a/lib/images/undo.xpm
+++ b/lib/images/undo.xpm
@@ -1,7 +1,7 @@
 /* XPM */
 static char const * undo_bw_xpm[] = {
 "20 20 2 1",
-" 	c #BFBFBFBFBFBF",
+" 	c None",
 ".	c black",
 "                    ",
 "                    ",
diff --git a/lib/images/unknown.xpm b/lib/images/unknown.xpm
index 4771cca01f..9a4a03d799 100644
--- a/lib/images/unknown.xpm
+++ b/lib/images/unknown.xpm
@@ -4,7 +4,7 @@ static char const * unknown_xpm[] = {
 "    20    20        2            1",
 /* colors */
 ". c #000000000000",
-"# c #befbbefbbefb",
+"# c None",
 /* pixels */
 "####################",
 "####################",
diff --git a/src/LyXView.C b/src/LyXView.C
index d9cdc70bbf..b22acf6a7e 100644
--- a/src/LyXView.C
+++ b/src/LyXView.C
@@ -24,7 +24,6 @@
 #include "toolbar.h"
 #include "minibuffer.h"
 #include "lyxfunc.h"
-#include "lyx.xpm"
 #include "debug.h"
 #include "layout_forms.h"
 #include "intl.h"
@@ -254,17 +253,20 @@ void LyXView::create_form_form_main(int width, int height)
 	//
 
         //  assign an icon to main form
-        unsigned int w, h;
-        Pixmap lyx_p, lyx_mask;
-        lyx_p = fl_create_from_pixmapdata(fl_root,
-					  const_cast<char**>(lyx_xpm),
-					  &w,
-					  &h,
-					  &lyx_mask,
-					  0,
-					  0,
-					  0); // this leaks
-        fl_set_form_icon(form_, lyx_p, lyx_mask);
+	string iconname = LibFileSearch("images", "lyx", "xpm");
+	if (!iconname.empty()) {
+		unsigned int w, h;
+		Pixmap lyx_p, lyx_mask;
+		lyx_p = fl_read_pixmapfile(fl_root,
+					   iconname.c_str(),
+					   &w,
+					   &h,
+					   &lyx_mask,
+					   0,
+					   0,
+					   0); // this leaks
+		fl_set_form_icon(form_, lyx_p, lyx_mask);
+	}
 
 	// set min size
 	fl_set_form_minsize(form_, 50, 50);
diff --git a/src/Makefile.am b/src/Makefile.am
index 1fafd15471..f44020a309 100644
--- a/src/Makefile.am
+++ b/src/Makefile.am
@@ -10,7 +10,7 @@ lyx_LDADD = $(lyx_DEPENDENCIES) @INTLLIBS@ $(LYX_LIBS) $(SIGC_LIBS) \
 	@FRONTEND_LDFLAGS@ @FRONTEND_LIBS@
 EXTRA_DIST = config.h.in stamp-h.in cheaders
 ETAGS_ARGS = --lang=c++
-INCLUDES = -I${top_srcdir}/images $(SIGC_CFLAGS) @FRONTEND_INCLUDES@
+INCLUDES = $(SIGC_CFLAGS) @FRONTEND_INCLUDES@
 localedir = $(datadir)/locale
 lyx_SOURCES = \
 	BackStack.h \
diff --git a/src/bullet_forms.C b/src/bullet_forms.C
index 5518283ab0..301f80b98e 100644
--- a/src/bullet_forms.C
+++ b/src/bullet_forms.C
@@ -29,7 +29,7 @@ FD_form_bullet *create_form_form_bullet(void)
      fl_set_object_boxtype(obj, FL_UP_BOX);
      fl_set_bmtable_pixmap_file(obj, 6, 6,
 				LibFileSearch("images",
-					      "standard.xpm").c_str());
+					      "standard", "xpm").c_str());
 
   fl_set_border_width(-1);
   obj = fl_add_frame(FL_ENGRAVED_FRAME, 95, 20, 255, 70, "");
diff --git a/src/bullet_forms_cb.C b/src/bullet_forms_cb.C
index 761f322514..a8b37a5bed 100644
--- a/src/bullet_forms_cb.C
+++ b/src/bullet_forms_cb.C
@@ -218,9 +218,10 @@ void BulletPanelCB(FL_OBJECT * /*ob*/, long data)
 			new_panel = "standard";
 			break;
 		}
-		new_panel += ".xpm";
-		fl_set_bmtable_pixmap_file(fd_form_bullet->bmtable_bullet_panel, 6, 6,
-					   LibFileSearch("images", new_panel.c_str()).c_str());
+		fl_set_bmtable_pixmap_file(fd_form_bullet->bmtable_bullet_panel, 
+					   6, 6,
+					   LibFileSearch("images", new_panel, 
+							 "xpm").c_str());
 		fl_redraw_object(fd_form_bullet->bmtable_bullet_panel);
 		fl_unfreeze_form(fd_form_bullet->form_bullet);
 	}
diff --git a/src/toolbar.C b/src/toolbar.C
index fa756910d9..01a88558f8 100644
--- a/src/toolbar.C
+++ b/src/toolbar.C
@@ -145,8 +145,10 @@ void Toolbar::update()
 				// know how to use transparency with
 				// Xpm library. It seems pretty
 				// complicated to me (JMarc)
+				fl_set_object_color(p->icon, FL_LEFT_BCOL, FL_BLUE);
 				fl_set_object_boxtype(p->icon, FL_DOWN_BOX);
 			} else {
+				fl_set_object_color(p->icon, FL_MCOL, FL_BLUE);
 				fl_set_object_boxtype(p->icon, FL_UP_BOX);
 			}
 
@@ -287,7 +289,6 @@ void Toolbar::set(bool doingmain)
 					      NorthWestGravity);
 			fl_set_object_callback(obj, C_Toolbar_ToolbarCB,
 					       static_cast<long>(item->action));
-			fl_set_object_color(obj, FL_MCOL, FL_BLUE);
 			// Remove the blue feedback rectangle
 			fl_set_pixmapbutton_focus_outline(obj, 0);