When looking for artwork for the 'Displays Menu', artwork is loaded from the "menu-art" subdirectory. Artwork matching the Display's name or the Display's romlist name are matched from the corresponding artwork directories located there.
Additionally, when the selection is made attractmode moves to that layout. Attractmode doesn't default to the display menu mode, so I changed it in the general settings.
Feature Request
From the system select menu allow an option to choose a layout or to run a specific program directly (without entering a layout).