Fair and Balanced?

In an exercise in scaring the crap out of myself I watched a little bit of Fox News to get an American perspective of whats going on in the world. The bit I saw involved 3 panelists discussing how they thought Bush has had a fantastic speech (fair enough I though, he may well of). Then before the end they said something along the lines of, "in other news Kerry may have some work to do on his foreign policy" and showed a clip of one of his speeches, re-edited to make him say he was going to let thousands of Islamic terrorists into the US. The anchor man then signed off with "Fox News, as always Fair and Balanced". As far as I can tell this is Fox News tag line. I was shocked. Please can anyone in the states tell me if people really think Fox is fair and balanced?