You're thinking of auto-lighting optimizer; Highlight Tone Priority is a feature which causes the camera to expose at 1-stop ISO below the nominal ISO, then use hardware to boost signal up to be equivalent to the nominal ISO. This is why you can't access ISO 100 or 50.
Nope -- highlight tone priority (HTP) is what we're talking about. I've seen that comment on the internet; that HTP causes the camera to expose 1 stop below the ISO set. It most certainly does not do that. In order to do that the camera would have to alter the exposure to the sensor and it does not.
I just ran a test to verify. I set the camera to Tv and locked in a 1/400 sec. shutter speed. With HTP off the camera meter selected f/7.1 for the exposure. With HTP on the camera meter selected f/7.1 for the exposure. So HTP does not cause the camera to deliberately underexpose. What the camera is doing it's achieving via software in the Digic processor. This makes sense -- with a 14 bit capture depth the camera's software can process the data using different tone response targets, and this is what Canon says their doing.
Take Care,
Joe