Image merging...

[Chris]

For instance, I've 2 image loaded into the memory DC and how do i merge this 2 image into a single image with transparent area remian transparent.

[/\/\isanThr0p]

Well you could do that with a masked bitblt. You can find samples for that all over the place. The only problem is the mask. Depending on how often that has to be done with different shapes of transparency you would probably want to create some code to create the mask on the fly. That can be done, but I haven't seens very good samples for that.
I would search the forum for that, I am sure, that there will be some good samples.