Wow! you are up to very diligent about bugs and examples. (btw, I
still have to isolate that bug for your on cycle I twitter).
After many many google keywords, I came across this fix.

http://www.alexjudd.com/?p=5

Look like if you are ok with not having any "pure" black in your image
you can just adjust levels and be ok.

I guess it is a known, but and I doubt MS will fix it any time soon.

On Jan 27, 11:22 am, Mike Alsup <mal...@gmail.com> wrote:
> >http://lunaroja.net/upload/files/dead-pixel1.jpghttp://lunaroja.net/u...
>
> > Please view files. This issues is only happening on IE7 (not even ie6)
> > when these images (set as bg to a div) they have an animation opacity
> > from 1-0 for transitioning the images for a slide show.  I would think
> > its related to the filter implementations in IE7. The strage part is
> > that There are two other images that are not suffering from this
> > issue.
>
> > Anyone have any ideas? Thanks!
>
> You're correct, it is an issue with IE's opacity filter.  I worked
> through this same issue a while back and the solution was to set a
> black background color.  Here's a couple examples:
>
> Without background color:http://malsup.com/jquery/specs.html
>
> With background color:http://malsup.com/jquery/specs2.html

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