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Try this code. (Not tested, but just post any errors)
Code:
/////////////////////////////////////////
// On mouse-over
bmap pl1_hover = <YOUR_BMAP>;
bmap pl2_hover = <YOUR_BMAP>;
bmap pl3_hover = <YOUR_BMAP>;
bmap pl4_hover = <YOUR_BMAP>;
// Normal
bmap pl1_normal = <YOUR_BMAP>;
bmap pl2_normal = <YOUR_BMAP>;
bmap pl3_normal = <YOUR_BMAP>;
bmap pl4_normal = <YOUR_BMAP>;
// Other bmaps
bmap cancel_but = <YOUR_BMAP>;
/////////////////////////////////////////
// Player models
string pl1_mdl = <MODEL>;
string pl2_mdl = <MODEL>;
string pl3_mdl = <MODEL>;
string pl4_mdl = <MODEL>;
string* ptr_string; // String pointer
/////////////////////////////////////////
// Constants
define numStrings,4;
/////////////////////////////////////////
// Variables
var ptrs_set = 0;
var string_ptrs[numStrings];
/////////////////////////////////////////
// Function prototypes
function plSelect(but,pan);
function plSelect_cancel();
/////////////////////////////////////////
panel plSelectionPan
{
flags = refresh;
button = 20,20,pl1_hover,pl1_normal,pl1_hover,plSelect,null,null;
button = 20,50,pl2_hover,pl2_normal,pl2_hover,plSelect,null,null;
button = 20,80,pl3_hover,pl3_normal,pl3_hover,plSelect,null,null;
button = 20,110,pl4_hover,pl4_normal,pl4_hover,plSelect,null,null;
button = 20,140,pl4_hover,pl4_normal,pl4_hover,plSelect,null,null;
button = 20,170,cancel_but,cancel_but,cancel_but,plSelect_cancel,null,null;
}
/////////////////////////////////////////
function setStrings()
{
string_ptrs[0] = handle(pl1_mdl);
string_ptrs[1] = handle(pl2_mdl);
string_ptrs[2] = handle(pl3_mdl);
string_ptrs[3] = handle(pl4_mdl);
ptrs_set = 1;
}
/////////////////////////////////////////
function plSelect(but,pan)
{
if(!player) {return;}

if(!ptrs_set) {setStrings();}

if(but <= 0 || but > numStrings) {return;}

ptr_string = ptr_for_handle(string_ptrs[but - 1]);

ent_morph(player,ptr_string);

plSelectionPan.visible = off;
}
/////////////////////////////////////////
function plSelect_cancel()
{
plSelectionPan.visible = off;
}
/////////////////////////////////////////
function showPlslPan()
{
plSelectionPan.pos_x = (screen_size.x - bmap_width(plSelectionPan.bmap)) / 2;
plSelectionPan.pos_y = (screen_size.y - bmap_height(plSelectionPan.bmap)) / 2;
plSelectionPan.visible = on;
}

on_mouse_right = showPlslPan;
/////////////////////////////////////////



Save it as player_selection.wdl, and add this to the includes in your level's WDL (LEVELNAME.wdl) file:
include <player_selection.wdl>;