Sending HTML email from ACT 2006 8.0

Im trying to send an HTML document out through Mail merge from ACT 2006 8.0. I can pull the document in or I can also save the HTML document under ACT’s Temmplate folders. When I send the email the pictures dont appear. I also had the Pictures and HTML document loaded on our server.

How can this be fixed. Do I need to purchase an add-on module. Every thing im reading about ACT 2006 8.0 has disabled the feature to send HTML documents.