Options with display:none not hidden in IE
Solution 1:
IE doesn't support style="display:none;" on <option> tags.
Your only option is to remove them - either as part of the creation of the HTML, or via client-side script.
Solution 2:
If somebody still faces this issue, here is my solution, it may be helpfull:
$('select.some-list option[id=someId]').attr('disabled', 'disabled').hide();
This hides the option in all browsers and disables if can't hide :). To bring back the option do not forget to enable it:
$('select.some-list option[id=someId]').removeAttr('disabled').show();