Is the status bar also gone in regular explorer?
If so open up an explorer window (not IE) and enable the status bar (under the View menu I believe). Then go into the Folder Options menu and click the "make all folder look like the current one" button. It should then also work for Internet Explorer.
If that doesn't work you'll have to edit the registry, but try the above first...
P.S. I don't run windows right now, so the menu titles may be a little off.
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