Link: phylum level evolution.
Often Intelligent Design proponents will admit to the possibility of "microevolution"--evolution within a species-- but deny the possibility of "macroevolution" at the phylum level. This article discusses several transitional fauna at the phylum level, complete with artist's conception and and photograph of the fossil. Very good work!
Evolution explains "macroevolution" just fine. The difference between "microevolution" and "macroevolution" is a matter of degree only and a distinction frequently made only by Intelligent Design/creationism proponents. The taxonomy of species, families, orders and phyla are all artificial constructs. Nature is not bound by, or even aware of, these constructs.