[BCSE]

Go to skin1/customer/categories.tpl and find this code:

{if $config.General.root_categories eq "Y"}
{section name=cat_num loop=$categories}
<font class=CategoriesList>{ $categories[cat_num].category_name|escape }</font>

{/section}

and after the
put <HR>

You may not want it to place a <HR> after the last category, so one way to do this is put this instead of the <HR>:

{if !$smarty.section.categories.last}
<HR>
{/if}

This site may help to.
http://smarty.php.net

Carrie