How can I batch Save For Web and maintain a multilevel folder structure?

Question

First... I am using an old version of Photoshop.... 6.0 to be exact.  If your answer is to buy the newer versions, I respectfully say I know that's AN answer, but I'm looking for something that will work with my setup.  The version we have works just fine for the very few things we need it for, and we use new versions of InDesign and Acrobat for all else. 
So here's the challenge:
We have a weekly magazine featuring 1,200 plus photos of cars for sale, each saved in a folder named for the sales rep, week and day.  I must maintain these folder structure throughout the process, as the files names are duplicated by cameras and across reps.  So I cannot dump all batch converted pics into one single folder, yet I need to reduce the Quality setting which I find when completing a Save As in Photoshop.
So I want to batch convert all the photos in multiple folders, some 3 folders deep, all at once....  reduce to 8 inches across, change to 72dpi, and reduce the quality slider to 5, which creates a nice 60-90K file.  BUT.... it wants to save all of them in a particular folder.  I need to just overwrite the original file with the new smaller one.... or save the new small version into the same folder the big one is in, but have it work with the "include all sub-folders" option in batch. 
A sample File system .... 4513 Photos - Color <day of week> (3 folders) - <disk number><rep>Color (20 folders) - actual photos.
After converting, we push up the final level of folder to our website and that organization allows us to use them there the way we need.  The uploading to the site and batch functions are done 3 to 4 times per week.... on different days.
Is there a way to reduce the quality (compression) of the jpgs that does not require the creation of a new file in a particular folder, or is there a way to have the resulting file just drop back into the folders and subfolders during a batch function?  I just can't figure this out!
As an alternative, what other programs might do this?

Answer 1

You should be able to just use the html output of the Export for Web function and, if the video's converted correctly, just swap the file names at the appropriate places. Have you tried renaming VisualHub's output to what the Export for Web html wants, then placing it in the proper location?
I'm not aware of a way to batch create the html files, but if I had to, I'd probably look at automator to see if I could figure out it's text manipulation options.