That's fine, but the OP is reporting this problem even when previewing in a regular browser. That's the part of it that I can't replicate. Can anyone else? His original image is included in the little one-image test album that he posted.
I’ll try it tonight. I do note though, that the OP is using an OS beta - maybe, if we’re lucky that could be the reason.
I have tried the image on my iPad and Mac, various browsers and other applications and I don't get anything other than what should be seen. It even appears fine in jAlbum's built-in browser with various skins.
In my quick tests, the integrated browser got flaky if I chose Link to originals. That doesn't surprise me, because in that case the image scaler never has a chance to fix the orientation, and the integrated browser can't handle the orientation flag in the original.