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Nice try... my recommendations...

1. The categories which you have put in down menu style just put the categories as normal this will fill most of the space on the left column and on the right you have done is right put the adv on the right below of 160x600 this will give you revenue and fill the site structure...

2. If you please change the template of WP and try to give a footer link that its powered by wp it looks nice that you really care about the laws

3. make a logo for your site and try to put search on the right column

hope it helps...