I had some problems inserting icons into my wpf application. I was getting errors like "The image format is unrecognised". Here is the solution:
1. Got the properties of the WPF sub project
2. In the application tab select the [...] button next to the Icon text box
3. Browse to your icon4. When you start in debug mode the icon will not appear. It's a bug in VS2005 and VS2008
5. Under the debug drop down select "Start Without Debugging" and the icon will appear