Thanks Robert
Hmm... no luck so far.
Here is the code in 'subcategories_list.tpl' that I am trying to use to generate my sub-menu. It works but disappears when a subcategory is clicked and also when a product is viewed. I'd like it to stay visible to act as a sub-menu.
<ul class="subcategories">
{foreach from=$subcategories item=subcat}
<li>
<a href="home.php?cat={$subcat.categoryid}">{$subcat. category|escape}</a>
{if $config.Appearance.count_products eq "Y"}
{if $subcat.product_count}
({$subcat.product_count} {$lng.lbl_products})
{elseif $subcat.subcategory_count}
({$subcat.subcategory_count } {$lng.lbl_categories|lower})
{/if}
{/if}
</li>
{/foreach}
</ul>