ok, this was doing my head in, so i did a bit of investigating...
well, i looked closely at the screen anyway
it seems that the icon h= is being applied to the pixel width of the image, while still keeping it at the relative correct width on screen.
in other words, although the image is set for (for example) w=350 and h=21, and the image is also still displayed as a relative rotated w=350/h=21, the actual image is being resized to w=21/h=21, and then stretched out to w=350, therefore giving the "blurred" effect in my orig post.
the image below was set to w=350 h=21, so therefore you can see 21 "sections" from left to right. (yes, against your advice in the 2nd post, i was playing with the icon dimensions)
the "sections" from L to R increased as the h= was increased....
so, i tried setting to w=350/w=350, and although it overlapped the strips a fair bit, you could read the original text (although it was a bit tall)
p.s. already tried the fixeddimension=height, didnt make much difference....