i have a mesh deformed by bones, and i want to apply the deformations so i can get rid of the bones - is this possible? i know that lattice deformations can be applied, but how is that done with bones?
EDIT:
oops
you are asking other thing…You already know how to assign weights to bones and and make the mesh be deformed by them…
Well, one way is to tweak the object with the armature, and then simply delete the armature.
Update on this,…I fooled around with it a bit and found it does not work for saving, or subsurfacing, so the question is still open i guess. sorry. 
Theeth wrote a script for that, “apply_deformation”. Look in the Python script list (sticky in the python forum here)…
I just used ‘clear parent inverse’ seems to work. At least it did for me just now in 2/30.
thnaks guys 