When you click on settings 2 it goes straight to the settings screen, but when you click on settings 1, it goes back to the media screen, freezes for a sec or two then goes to the settings screen.
I heard frodo saying that when this happens is 'cause the macromedia flash file (Flash.ocx) have change somehow so you need to reinstall the proper one.
When this happened to me.......the only way to fix it was reintalling frodo.