I thought I'd pass this along:

http://drupal.org/node/1357496

This relates to flexslider, but the same issue exists in the slider-options.js packaged with the theme. I'm not supporting IE7 for other issues with the slideshow and theme, but if I had time on this project, it could be done. But you would need to make the change in the post above to get the slideshow to work, AFAICT.

Awesome theme system - thank you! Just trying to help... rock on!