Excel 2003 - Can't Insert Picture Into Cell ?!?

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We're using Excel 2003. The columns are:

thumbnails, name, address. We're trying to insert a picture into thethumbnails cell. The picture is inserted however it acts as if it is"floating" over the cell and not actually apart of the cell row/column.

 

Is this a glitch within Excel? How do i actually insert a picturewithin a cell so that it is apart of the cell (ie. when i sort orfilter, the picture remains assoicated with the cell). We do have Excel2007 but havent installed.

 

Thanks

 

 

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