If you want to display “HOME”, then you have to use the following in the function.php
____

function cat_menu_items1()

{

$homeMenuItemCaption = <<post_title);
$isHomeSelected = is_page($page->ID);
} elseif (!$pageOnFront && $pageForPosts) {
$page = & get_post($pageForPosts);
if (null != $page)
$homeMenuItemCaption = apply_filters(‘the_title’, $page->post_title);
}
}
if (null === $isHomeSelected)
$isHomeSelected = is_home();
if (true === $showHomeMenuItem || ‘page’ == get_option(‘show_on_front’))
echo ‘‘
. $homeMenuItemCaption . ‘‘;

add_action(‘get_the_category’,
‘art_header_page_list_filter’);

add_action(‘wp_list_categories’,
‘art_list_pages_filter’);

wp_list_categories(‘title_li=’);

remove_action(‘wp_list_categories’,
‘art_list_pages_filter’);

remove_action(‘get_the_category’,
‘art_header_page_list_filter’);

}