How To Send An HTML Email, With Pictures, From A Website

I am trying to implement a "send newsletter" process that works like this: -

1. The author develops a newsletter using Word.

2. When they are ready to distribute it, they save it as HTML, and upload this to the web site. It is then viewable with the appropriate URL.

3. They then distribute it with a web process that uses SendMail.

I have two problems: -

1. When you "Save as web page (*.htm, *.html)" from Word, the document is saved as .htm, and if there are any graphics within the document they are saved in a separate "*_files" folder. How do I upload this folder to the web site?

During testing I'm fudging this by uploading the folder with FTP, but of course this is not a viable solution for users.

2. I can send the email using alternate views, but the htmlview lacks the graphics. My logic reads the uploaded .htm document into a string variable called "HtmlBody", and then

code]....

This all works perfectly except that the email arrives just a graphic symbol and blank space where the graphic should be. How do I either send the graphics with the email, or (better) send it with references to the graphics back on the web page. The html
that I am sending out contains references to the graphics like <v:imagedata src="./FamNet%201%20July%202010_files/image001.jpg" o:title="NZSGFamNet"/>, which is looking in a subfolder from the folder containing the html. I suppose that if I could solve the first problem I could replace the "./" in the image reference to [URL]. This would not be too difficult, as I could recognize "FamNet%201%20July%202010" as the newsletter name and so look for the string"./" & NewsletterName & "_files". However somebody might be able to suggest a more elegant solution, provided that I can solve the first problem.