carved or cut text

What I want to do is take a plane or a plane extruded form a piece of steel and have text cutout of that mesh so the text is transperant or not even in the mesh anymore.So I want it to be like this example but I want to do the same thing in blender. Im using 2.5 beta
http://farm5.static.flickr.com/4073/4930302822_bf1c2abc71.jpg
http://farm5.static.flickr.com/4135/4929713569_eb976376e6.jpg
The red plane would be the mesh I want to cut the text out of and be able to have the bacground visible through the text.

Add a font object and type your text.
Convert it to a curve, NOT MESH. (ALT-C).
Add a curve circle to the scene.
Put the circle in edit mode and press the V-KEY to convert all the point to vector. This will leave you with a square.
Drag the points of the square around the text so a box is around the text.
Exit edit mode.
Select the square/rectangle and then the text.(Two curves should be selected)
Press CTRL-J to join the selected curves.

Now you will have one curve made up of the text inside a rectangle. Extrude the curve for your final result.

atom has suggested a way to actually cut the text out of the mesh. If you are happy simply to make the text transparent, then you can use an image of the text as a texture controlling the alpha value of the plane.

Best wishes,
Matthew

That worked but I had to convert the merged curve into a mesh to extrude and if you select the text before the square it doesent work right.
http://farm5.static.flickr.com/4077/4930393717_5b9cc6f190.jpg

Perfect tutorial. Work fine with Blender 2.56

http://i1023.photobucket.com/albums/af353/Spender19/Skrmavbild2011-03-05kl030832.png

actually you can set the depth of your curve object, so no need to extrude.