Animating Text

Hello everyone. I'm new to the community and I have a question. Is there anyway to animate text like in this icon? I'm using Photoshop 7 and Image ready. I just got it yesterday so I can't figure anything, but that's what I wanted to know.



This one was made by mattdalf, I asked how he did it, but he used Animation Shop. Any help would be greatly appreciated.

Thanks, Lily*