[How to make a dynamic signature (IP sig)]

I tried this tutorial but cant get it to work....

When i used the zip files all i got was a red x where pic should be,so tried with my own graphic but no joy.....

My sig

Heres my code,

<?php
Header ('Content-type: image/jpeg');
Header('Cache-Control: no-store, no-cache, must-revalidate, post-check=0, pre-check=0');
Header('Expires: Thu, 19 Nov 1981 08:52:00 GMT');
Header('Pragma: no-cache');

// create the image using your own background
$image = imagecreatefromjpeg("background.jpg");

// dimensions of the image used
$img_width = 380;
$img_height = 50;

// set the colours
$cool  = imagecolorallocate($image, 81, 86, 96);
$black = imagecolorallocate($image, 0, 0, 0);
$white = imagecolorallocate($image, 255, 255, 255);
$red   = imagecolorallocate($image, 255, 0, 0);
$grey  = imagecolorallocate($image, 204, 204, 204);
$green = imagecolorallocate($image, 206, 129, 18);
$blue  = imagecolorallocate($image, 0, 0, 255);

// set the font and print text
$font = 'verdana.ttf';

// now i will create a line with font size 8, with no angle, 10 pixels to the right, and 17 pixels down
ImageTTFText ($image, 8, 0, 10, 17, $white, $font, "Your IP Address is... ".$REMOTE_ADDR);

// the above will display your IP address

// output and destroy
imagepng($image);
imagedestroy($image);

?>

Do you just upload the fonts from your windows fonts folder?