The component can cache the resized images, and also allows you to encode the image path, which is useful if you want to hide the location of your original image files.
The method of accessing the image resizer is very simple, you just pass the image to the component in an URL. This means that the image generator could potentially be integrated quite easily into any Joomla extension.
This release is for the first time compatible with Joomla 3.0 as well as Joomla 2.5
The new release improves the handling of transparent PNG images. There are new versions of both the main component and the watermark plugin. If you update to these you should find that PNG images are now handled correctly. There are also some small improvements to the image resizer plugin - it should now correctly pick up image style and alignment information.
Version 1.1.0 includes some improvements to usability, and also includes a new plugin that allows you to restrict image viewing on your site to chosen user groups, for example registered users only.