Typically you can have a print to fax. If not I would look at a print to email or something of that account might be your best solution. Otherwise you would need to create a dedicated view specifically for the fax. In IP 2007 I believe you can specify whether to send as an attachment or just the embedded view. So you would have a button that switched to the fax view and initiated an email to your fax server.
The red X on the image can happen in the pasteing of the image. I would try removing it and copying it back in. If it is a linked picture then it must be accessiible from everywhere or the X will show that it cannot download it.
Page breaks are difficult, better in 2007, but still not an exact science.
Good luck ad let us know what you come up with.