are you just wanting that chick cut out zero?
i quickly cut her out and put some gfx in the psd file to check the fade efect.
heres the test jpeg -
and heres the PSD of carolyn only -
carolyn savage pic 1 psd.psd - 1.73MB
you can use an eraser in photoshop if you want to sharpen the edges but i like the blur effect...