@ffurnaiMay 05.2005 — #Is what you're really looking for a way to have navigation that looks like that or are you just curious on how to make an element change background color when hovered over?
If the Navigation effect is what you're looking for there are better ways to do it than how they're doing it.
@wamboidMay 05.2005 — #ffurnai probably has the right idea for you. Use his link and scroll down to the List Auto-Generators. The first one will probably set you up easily.