Apple Style Multi-Level Navigation ( current status)

Hey, i have a video theme for wordpress that only lists all categories and subcategories at once, but i’m looking for a solution to have a multi-level navigation, as seen on: http://www.apple.com/iphone/appstore/

I’m using wordpress 2.7, my navigation bar looks like:

( VD | Home | Videos | Shows | Tutorials |[search.. ])
( ++++++++++ ) Photoshop | Flash | Dreamweaver

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..but how do i get those sub-categories working with “current status” ?
*Pages* won’t work, hence the Videos are in categories..

Thanks in advance!!