PNG2ICO converts .PNG files to Windows .ICO icon resource files. It is a simple tool for creating a
favicon.ico for a Web site. It supports transparent backgrounds and multiple icons (usually
alternative resolutions) per .ICO file.
Information regarding Project Releases and Project Resources. Note that the information here is a quote from Freecode.com page, and the downloads themselves may not be hosted on OSDN.
In this version, color reduction has been implemented, so that excess colors are no longer mapped to black. A --colors switch was added that allows the creation of b/w, 16-color, and 256-color (and even mixed) icon resources. If you've created an icon that has only few colors with a previous version of png2ico, it is recommended that you recreate it with --colors 16 to save space and improve download times for users with slow modems.
Icons produced with previous versions of png2ico are not rendered correctly by some programs in some contexts. This version fixes these problems. It is recommended that icons be regenerated with the new version to ensure maximum compatibility.