Stripping areas from existing template and fitting header

[D4Real]

I am currently working on modifying an existing template:
http://www.joomla24.com/option,com_remo ... ,5236.html

I am using the blue set and have been tweaking the template.css around my design but ive been running into complications. I will try to illustrate what I am going for.

My header image is 1022x304 and I can get my width appropriately, but when it comes to stripping areas while keeping things lined up, it gets all screwy.

I am trying to model it exactly like this:
http://i52.[removed].com/9gc4ch.jpg

So as you can see, i need to remove the search bar (which I can disable) and the "Your site title" stuff while increase the width and height of the graphic appropriately, but making sure that the top menu bar stays under the graphic well and the only thing below the menu bar is content of the pages.

I keep getting close but then one change messes everything up. All help is appreciated.
Thank you in advance