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Resizing multi layers PSD

I have a multi layered PSD that I'd like to resize overall to a larger image.  I'm using Photoshop Elements 6 on Mac.  If I highlight all layers and scale, it gets very distorted.  I'd expect this result if I were resizing a PNG but not the PSD.  Am I doing something wrong?
2 Solutions
Are you doing this through the image size dialogue box?
It sounds like you have increased your canvas and are scaling layers.
To resize an entire PSD, do as Philip suggested and use the image-->size dialog.

Also, if you're getting distortion (I'm assuming you mean pixellation) then you're working with too small of an original to size it to whatever size you are attempting to take it to.
brettrAuthor Commented:
Works great.  Thanks.  I also needed to start with the larger image and work my way down to the target size.

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