File preloader not working in IE but works in FF (red cross)


I have a flash file that has two scenes.

Scene 1 is a preloader
Scene 2 is the file animation

I have a problem with the file not working properly in IE. If you visit the page, you will see the entire page loads up in IE - the flash file loads but is surrounded first by this type:

I have seen the file load brilliant and smooth in FF - it shows the preloader, it loads the file, and the goes to scene 2.

In IE - it loads the file with the box around it and then it jumps directly to scene 2 - it hardly ever shows the preloader, probably for less than a second? (you can see the sample demo page here)