Path to theme folders

I found a plugin to load newer versions of jQuery. The plugin uses this to load jQuery

function rw_jquery_update() {
	if (!is_admin()) {
		wp_deregister_script('jquery');
		wp_register_script('jquery', plugins_url('/js/jquery-1.6.2rc1.js', __FILE__), false, '1.6.1.1.1');
		wp_enqueue_script('jquery');
	}
}

add_action('init', 'rw_jquery_update');

I want to use something like this bit of code, but I want to reference folders in my theme instead of the plugins folder. I’ve been searching around and can’t figure out how. I’ve tried using bloginfo(‘template_directory’) and bloginfo(‘template_url’), but I can’t get it to work.