Watch my video and see what I mean. I have posted pictures as well to show the issues in detail (my flip video camera doesn't zoom and focus too well) so you can see first hand.
I have called and reported this issue to Provo Craft. My call was logged October 20, 2010 at approximatelly 11 am EST. At this time I have not heard anything back from customer service.
I'll keep everyone posted as to the progress.
If anyone has a work around for this, please contact me or leave a comment below.
Below are the cutouts from the machine. On the left is the original cut as it appears on the cartridge. Above is the MEOW cut out as is. Notice the color between the letters.
On the right is the modified cutout. I changed the background and stripe. You can see where the words still have the color overriding the background images.
Here is the picture from the manual. Notice the word MEOW has no color behind it.