Can you please share the steps to reproduce the bug as its working fine for us.
Steps to reproduce: Ummm, place images in asset catalog and run the app???
Perhaps it would be better to point me to things that might possible be causing this, such as settings in the rhoconfig.txt. Also, if we make a change in rhoconfig.txt, the next time we run the rhodes app in XCode5, does it automatically pick those up, or do we need to do a rake buid:iphone:setup_xcode_project?
Note - this does not happen on my iPhone, only on iPad. Does that mean I have some weirdness in the sizing of my images perhaps?
Rob, have a look at this thread: ipad splash screen issues, which reported a similar issue and may be of help in your case.
Please let us know if the information there helped you or you are still having trouble, in which case it would be beneficial to know which version of rhodes you are using, which device exactly (ipad 2? ipad 3?) and to double-check the size of your images against Rhomobile | Rhodes Application User Interface