Hi Adam
I gave it a try on the online demo. I could replicate the problem. It turns out that not the image causing the problem but seems like the paragraph tag. Like I said before, it only happens on Internet Explorer 6 and not Firefox (I don't know about IE 7 and IE 8).
You could give it a try by pasting the html code below in the Editor's HTML mode and then click Normal. After that, highlight the title: Innovation Initiative; all the way to the end (including any blank/white spaces after the title). After that, try changing the font type, color or anything else relating to the font and the IE 6 browser will hang for a moment and display the message I mentioned earlier.
<strong><u><font size="4"><span style="color: #808080; font-family: Arial">Innovation Initiative</span><font face="Helv"> </font></font></u></strong>
<p dir="ltr" align="justify"><font face="Helv"></font></p>
<font face="Helv" size="3"><font face="Helv" size="3">
<div dir="ltr" align="justify"><span style="font-family: Arial"><strong><u><font face="Helv" size="4"></font></u></strong></span><span style="font-size: 12pt; color: #808080; font-family: Arial">The test test test test test</span></div>
<p dir="ltr" align="justify"></p>
</font></font>