Text Replacement using DTD not working

[JAMES VANETTEN <JV...@ALLMERICA.COM>]

In my DTD I have declared an ENTITY as so:

<!DOCTYPE webpage	[
<!ENTITY site "test">
]>

then in my XML I put this:

<graphic align="center" name="" source="&site;h1.gif"/>

and my XSL:

<xsl:template match="graphic"><center><IMG src="{@source}" alt="{@name}" align="{@align}" border="0"/></center></xsl:template>

What I want to do is replace the &site; with whatever site is in my DTD. This works in the normal text but when it is a tag parameter it shows up in my HTML without converting it.

If anyone can let me know what I did wrong I would appreciate it.

Thanks
Jim