The Tech Zone has a posted a guide on taking panoramic photos.
All a panorama is, is a sequence of images where you turn slightly for each different frame. In the old days, before PCs and the likes of Photoshop were around, you'd take your prints (there wasn't much point in shooting panoramas on slide film, for obvious reasons), lay them out on a table and position them over each other where they overlapped. A bit of sticky tape held them together. Now that PCs and image manipulation packages are easy to come by, high-quality panoramas can now be created by anyone. The guide can be found here.