Hi,
I never use an editor so I couldn't tell you what would be going on with why you're having issues.
You might want to try hand coding it and see what happens.
Go to Global Configuration and change to Editor/No Editor.
Go back to your article and make sure your paragraphs have the p attribute, and remove the image code which is already there.
Now add your image at the top of the article by pasting this code:
<div style="float: left; padding-right: 10px; padding-bottom: 5px;">
<img src="images/stories/food/coffee.jpg" alt="Team days with a green flavour" title="Team days with a green flavour"/><br />Team days with a green flavour!
</div>[code]
Or if you want your image to have a border, try this one.
<div style="float: left; padding-right: 10px; padding-bottom: 5px;">
<img src="images/stories/food/coffee.jpg" alt="Team days with a green flavour" title="Team days with a green flavour" style="border: 2px solid #CCC;"/><br />Team days with a green flavour!
</div>[/code]
Now test in IE6 - I really do ignore IE6 now, so I really don't remember all it's problems, hopefully it will work, the code is very basic.
If all is well, you can switch on your editor again, and use for all other articles.
Remember, if you want to edit this article in the future, you're going to have to make sure to switch off the editor when you do, otherwise the code will get messed up again.