Extracting
STEP 1
Open the picture you want to extract from the background color. I'm using this neopets picture.

STEP 2
Click on the Eraser Tool and change it to the Magic Eraser Tool.
STEP 3
Click once on the background. Ta da!

Here's what happened to my picture, but on a patterned background so you can see that there's no white stuff on the edges. :)
some images on this page (C) to neopets inc. used here with permission.

