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You've already helped me lots angelwatt; you're too kind.
I'm just using the standard wordpress 3.0 footer php. Like I say it's a bit much for me, I started messing around with it got one stage and then messed it up completely and had to reinstall wordpress lol :(. I'm amazed how long it's taken me, start to like it then change to a theme and everything changes :(. Then start messing around with css and fluff it all up :p.
Thanks for help :).
PHP:
</div><!--general ends-->
</div><!--container ends-->
</div><!--wrapper ends-->
<div class="clear">
</div>

<div id="xfoot">
<div id="higher-foot">

<img src="<?php bloginfo('template_url'); ?>/img/line.png" alt="line" width="900" height="1" /><br />

<div id="calendar">
<?php get_calendar(); ?>
</div><!--calendar ends-->




<div id="meta">
<h2>Meta</h2>

<ul>
<?php wp_register(); ?>
					<li><?php wp_loginout(); ?></li>
					<li><a href="http://validator.w3.org/check/referer" rel=nofollow" title="This page validates as XHTML 1.0 Transitional">Valid <abbr title="eXtensible HyperText Markup Language">XHTML</abbr></a></li>
					<li><a href="http://gmpg.org/xfn/" rel=nofollow"><abbr title="XHTML Friends Network">XFN</abbr></a></li>
					<li><a href="http://wordpress.org/" title="Powered by WordPress, state-of-the-art semantic personal publishing platform.">WordPress</a></li>
</ul>
 </div> <!--meta ends-->



<div id="blogroll">
<?php wp_list_bookmarks('title_before=<h2>&title_after=</h2>&before=<div class="links"><li>&after=</li></div>'); ?>
</div>


<div id="recent">

<h2>Recent posts</h2>
<ul><?php get_archives('postbypost', 10); ?></ul>
</div>


<div class="clear">


</div>


</div><!--higher-foots ends-->

<div id="footer">

<img src="<?php bloginfo('template_url'); ?>/img/line.png" alt="line" width="900" height="1" /><br /><br />


© <?php echo date("Y"); ?> <?php bloginfo('name'); ?> | Powered by WordPress & <a href="http://www.diaboliquedesign.com">Diabolique Design</a><br />

<?php wp_footer(); ?>
</div><!--footer ends-->
</div><!--xfoot ends-->



</body>
</html>
 
From the link you gave, this seems to be the code you need for retrieving the categories and putting them into a ul.

PHP:
<ul class="footerlinks">
<?php
wp_list_categories('title_li='); ?>
</ul>
 
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