Menu in header – doesn’t align properly when logo is uploaded

I’m having an issue with the menu.

I want to have it displayed in the header area. It does show up when I activate the “Show Primary Menu in the Header” option but since I have a custom logo uploaded as well (logo size is 291x100px) the menu is not in the same line as the logo image – it’s pushed down.

Currently my menu has only 1 item in it, but still, it’s not aligning properly.