Search Engines like Google , Yahoo , MSN are checking the images , not only the text of your page but the search engines can`t see the content of your images, they just check the HTML code of the image. Read these steps and optimize your images for a better SEO!

1. To have SEO friendly images use your keywords in the image filename. Don`t use filenames like: 001.jpg or 2009-01-01.jpg Use relevant keywords for your page in the filename: keyword.jpg or keyword1-keyword2.jpg

2. Another important thing is to use the ALT attribute, the alt attribute is the description of the image, like at the filename write a short description including the most relevant keywords.

3. The title tag is the title of the image, use 2, 3 relevant keywords for the title, like at the ALT attribute

The HTML code of a SEO friendly image will look like this:
<img src='http://your-URL.com/keyword1-keyword2.jpg' alt='your keywords' title='your keywords' width='100' height='100'/>
Note: Don`t stuff your ALT or Title tag with too many keywords , use just 2-3 relevant keywords.