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Hi Kelly,
Do you have a testing page on the Internet? That will help me to understand it better.
As John mentioned in the post http://www.menucool.com/1645/transparent-image, the image is being used as the background of a DIV element of the slider, and beneath the DIV, there will be another DIV which has a background of the previous slide image. The new coming DIV has a background-image, but no background-color. The previous DIV underneath has both background-image and background-color(defined by #slider { ... background:#fff url...). I don't understand how it is twice stacked. I am wondering if giving the new coming DIV a background color will help or not:
#slider div {background-color: #FFF; }