I wasn't upset, but I do think Supporter sounds better than VIP.
What does bother me somewhat, as others have mentioned, is the divide. Whether or not you are financially supporting the site is really no one else's business, but the designation puts us all into two visible categories.
For some, giving up a Starbucks latte once a month to support the site is nothing. There are others who are unemployed and going thru hard times and struggling to make ends meet who don't even know what such a luxury is anymore.
$45 a year might be chump change to you, but it might mean a week's worth of groceries to a family that's already cut every corner they can.
Personally, I'd rather not see any designation.