I'm testing LGW on my WAMP localhost server (Apache 2.2.17, PHP 5.3.5, bundled GD2) and the settings aren't behaving as expected.
Regardless of what transparency value or font size I pick, it all ends up the same on the actual images: about 10% transparent and about 10px font size. The Preview image shows what I expect but that's not what I get.
If I choose Cover for the placement, it does resize the font appropriately but is still only about 10% transparent. Only the colors seem to consistently come out as expected.
Is this a Windows issue or maybe a GD2 version issue? There aren't any errors in the server log.