plugin.xml
<siteLinks>
<link url="{e_PLUGIN}efiction/authors.phpnewsfeed/newsfeed.php" >Newsfeeds</link>
</siteLinks>
with icons and custom function:
<siteLinks>
<link url='{e_PLUGIN}faqs/faqs.php' description='FAQs' icon='images/icon_32.png' iconSmall='images/icon_16.png' function="faqCategories">LAN_PLUGIN_FAQS_NAME</link>
</siteLinks><strong></strong>
If you want to use the function, you need to use e_sitelink addon. Check FAQs plugin for example.