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Does Color Clearer delete all areas of selected color?

I am attaching a portion of the signature. Obviously zoomed in. I started, in regular paint, to remove the shading and white. Whew! Very difficult. In Paint.NET, I was able to highlight only the signature (it had a flashing selection highlight indication). I forget how I did it. I could not figure how to save it independently.

I am new to Paint.NET. I have my hand written signature in black ink on paper with a gray and white background, and I have saved the signature as a .png. How can I extract the signature with outer and inside letter spaces being transparent and save it so I can use it as an insert on a document or a pdf? Sould it be saved as another file type? What is the process to extract the signature? Running v. 4.1.6. Win.7 s.p.1 Please detail correct response, and thanx bunches.