Index: modules/toolbar/toolbar.css
===================================================================
RCS file: /cvs/drupal/drupal/modules/toolbar/toolbar.css,v
retrieving revision 1.16
diff -u -p -r1.16 toolbar.css
--- modules/toolbar/toolbar.css	7 Jan 2010 20:29:33 -0000	1.16
+++ modules/toolbar/toolbar.css	28 Jan 2010 20:29:58 -0000
@@ -33,10 +33,16 @@ body.toolbar-drawer {
   background: #666;
   color: #ccc;
   position: fixed;
-  left: 0;
-  right: 0;
+  left: -10px;
+  right: -10px;
+  padding-left: 10px;
+  padding-right: 10px;
   top: 0;
   z-index: 600;
+  box-shadow: 0 3px 20px #000;
+  -moz-box-shadow: 0 3px 20px #000;
+  -webkit-box-shadow: 0 3px 20px #000;
+  -khtml-box-shadow: 0 3px 20px #000;
 }
 
 #toolbar div.collapsed {
@@ -44,15 +50,6 @@ body.toolbar-drawer {
   visibility: hidden;
 }
 
-#toolbar div.shadow {
-  position: absolute;
-  left: 0;
-  right: 0;
-  bottom: -15px;
-  height: 15px;
-  background: url(toolbar.png) 0 -45px repeat-x;
-}
-
 #toolbar a {
   text-decoration: none;
   color: #fff;
@@ -78,7 +75,7 @@ body.toolbar-drawer {
   width: 11px;
   height: 14px;
   display: block;
-  background: url(toolbar.png) no-repeat -6px -63px;
+  background: url(toolbar.png) no-repeat 0 -45px;
   text-indent: -9999px;
   margin: 3px 0px;
 }
@@ -135,6 +132,21 @@ body.toolbar-drawer {
 }
 
 /**
+ * IE (all versions) Fixes.
+ *
+ * Use MS specific Glow filter to allow elements to be selectable below the 
+ * shadow and adjust position since the Glow filter adds extra padding.
+ */
+#toolbar {
+  filter: progid:DXImageTransform.Microsoft.Glow(color=#000000, strength='10');
+  -ms-filter: "progid:DXImageTransform.Microsoft.Glow(color=#000000, strength='10')";
+  left:-20px\9;
+  right:0px\9;
+  width:100%\9;
+  margin-top:-10px\9;
+}
+
+/**
  * IE 6 Fix.
  *
  * IE 6 shows elements with position:fixed as position:static so we replace
@@ -142,6 +154,4 @@ body.toolbar-drawer {
  */
 * html #toolbar {
   position: absolute;
-  top: 0;
-  left: 0;
 }
Index: modules/toolbar/toolbar.js
===================================================================
RCS file: /cvs/drupal/drupal/modules/toolbar/toolbar.js,v
retrieving revision 1.14
diff -u -p -r1.14 toolbar.js
--- modules/toolbar/toolbar.js	26 Jan 2010 21:42:37 -0000	1.14
+++ modules/toolbar/toolbar.js	28 Jan 2010 20:29:58 -0000
@@ -49,7 +49,7 @@ Drupal.toolbar.collapse = function() {
     .removeClass('toggle-active')
     .attr('title',  toggle_text)
     .html(toggle_text);
-  $('body').removeClass('toolbar-drawer').css('paddingTop', $('#toolbar').outerHeight());
+  $('body').removeClass('toolbar-drawer').css('paddingTop', $.browser.msie ? $('#toolbar').outerHeight() -20 : $('#toolbar').outerHeight());
   $.cookie(
     'Drupal.toolbar.collapsed',
     1,
@@ -71,7 +71,7 @@ Drupal.toolbar.expand = function() {
     .addClass('toggle-active')
     .attr('title',  toggle_text)
     .html(toggle_text);
-  $('body').addClass('toolbar-drawer').css('paddingTop', $('#toolbar').outerHeight());
+  $('body').addClass('toolbar-drawer').css('paddingTop', $.browser.msie ? $('#toolbar').outerHeight() -20 : $('#toolbar').outerHeight());
   $.cookie(
     'Drupal.toolbar.collapsed',
     0,
Index: modules/toolbar/toolbar.png
===================================================================
RCS file: /cvs/drupal/drupal/modules/toolbar/toolbar.png,v
retrieving revision 1.8
diff -u -p -r1.8 toolbar.png
Binary files /tmp/cvs2rDeIO and toolbar.png differ
Index: modules/toolbar/toolbar.tpl.php
===================================================================
RCS file: /cvs/drupal/drupal/modules/toolbar/toolbar.tpl.php,v
retrieving revision 1.8
diff -u -p -r1.8 toolbar.tpl.php
--- modules/toolbar/toolbar.tpl.php	16 Dec 2009 19:41:22 -0000	1.8
+++ modules/toolbar/toolbar.tpl.php	28 Jan 2010 20:29:58 -0000
@@ -23,6 +23,7 @@
  */
 ?>
 <div id="toolbar" class="<?php print $classes; ?> clearfix">
+
   <div class="toolbar-menu clearfix">
     <?php print render($toolbar['toolbar_home']); ?>
     <?php print render($toolbar['toolbar_user']); ?>
@@ -35,6 +36,4 @@
   <div class="<?php echo $toolbar['toolbar_drawer_classes']; ?>">
     <?php print render($toolbar['toolbar_drawer']); ?>
   </div>
-
-  <div class="shadow"></div>
 </div>
