Dang... still not working...
The dimensions of the image are the same as the frame 214x300. Saving as alpha channels as 16 bit compressed.
Code:
<Frames>
<Frame name="$parentTexture1">
<!--<FrameSkin skinid="f15d4970-d66d-444e-bb2d-1ad102c87fed" frameid="f15d4979-d66d-444e-bb2d-1ad102c87fed" />-->
<Size>
<AbsDimension x="214" y="300" />
</Size>
<Anchors>
<Anchor point="TOPLEFT">
<Offset>
<AbsDimension x="68" y="-99" />
</Offset>
</Anchor>
</Anchors>
<Layers>
<Layer>
<Texture name="$parentTexture" setAllPoints="true" file="interface\AddOns\WoWTCG\images\HOA-018">
<TexCoords left="0" right="1" top="0" bottom="1" />
</Texture>
</Layer>
</Layers>
</Frame>