Seams it needs to be restructured, but basically (on an overall view that is) all you have to take out is this:
Code:
<tr>
<td height="10" class="TableCenterCustomerForm" nowrap>{$lng.lbl_in_category}</td>
<td width="10" height="10"><font class="TableCenterCustomerFormOrange">*</font></td>
<td height="10">
<select name="search_category">
<option value="">{$lng.lbl_all}</option>
{section name=cat_num loop=$allcategories}
<option value={$allcategories[cat_num].categoryid} {if $smarty.get.search_category eq $allcategories[cat_num].categoryid}selected{/if}>{$allcategories[cat_num].category}</option>
{/section}
</select>
</td>
</tr>
Give it try.