>Even though it's possible (as you have just discovered) to >alter the base ISO value when Auto ISO is enabled, this just >changes the point ISO will start from - the camera will still >increase it to the same (high) value that it would have used >anyway.
This is very strange. On the old D7000, is exactly as you described. Don't have the old camera to compare with now, but remember the camera would bump the ISO all the way to max, and you can't lower it.
On the new D7000 from the recent sale, you can change the ISO to anything in flash mode. Just to be sure, here are 2 pictures, one at ISO 200 and other at ISO 12,800. Both in auto ISO mode with camera flash on. Just dialed in the ISO. I am pretty sure you can't do that with the old D7000, or I am going crazy