THANKS! this solved my issue, i had to install java 5 runtime... and check help->system information.
It was still using latest runtime (java7), but then i found las.bat in:
C:\Program Files (x86)\SAP\LsoAe\las
which starts authoring environment and sets also environment variables, i had to manually change JAVA_HOME to jre1.5.0 (LINE 7):
@echo off set LSOAEUSERDATAPATH="%APPDATA%\SAP\LsoAe" set LSOAEDATAPATH="C:\ProgramData\SAP\LsoAe" echo D | xcopy %LSOAEDATAPATH%\las\conf %LSOAEUSERDATAPATH%\las\conf /D /Y echo D | xcopy %LSOAEDATAPATH%\las\res\rex %LSOAEDATAPATH%\las\res\rex\trex /D /Y set LANGUAGE=en set JAVA_HOME=C:\Program Files (x86)\Java\jre1.5.0_11 set JAVA=%JAVA_HOME%\bin\java.exe set LIBDIR=.\lib set CONFIG=%LSOAEUSERDATAPATH%\las\conf\las.conf set lasLibs=%LIBDIR%\webdav.jar;%LIBDIR%\commons-httpclient.jar;%LIBDIR%\logging.jar;%LIBDIR%\shared.jar;%LIBDIR%\las.jar;%LIBDIR%\exception.jar set lmsLibs=%LIBDIR%\jARM.jar;%LIBDIR%\lmsembed.jar;%LIBDIR%\lms.jar;%LIBDIR%\sapjco.jar;%LIBDIR%\aii_proxy_rt.jar;%LIBDIR%\SAPmdi.jar;%LIBDIR%\aii_util_misc.jar set LAFLibs=%LIBDIR%\frog.jar set tomcatLibs=%LIBDIR%\catalina.jar;%LIBDIR%\catalina-optional.jar;%LIBDIR%\commons-el.jar;%LIBDIR%\commons-logging.jar;%LIBDIR%\commons-modeler.jar;%LIBDIR%\jasper-compiler.jar;%LIBDIR%\jasper-compiler-jdt.jar;%LIBDIR%\jasper-runtime.jar;%LIBDIR%\jsp-api.jar;%LIBDIR%\naming-factory.jar;%LIBDIR%\naming-resources.jar;%LIBDIR%\servlet-api.jar;%LIBDIR%\servlets-default.jar;%LIBDIR%\tomcat-coyote.jar;%LIBDIR%\tomcat-http.jar;%LIBDIR%\tomcat-util.jar;%LIBDIR%\jmxri.jar;"%JAVA_HOME%\lib\tools.jar" set trexLibs=%LIBDIR%\trex.jc_api.jar;%LSOAEDATAPATH%\las\res\rex\trex set debugFile=%LSOAEUSERDATAPATH%\las\las_%RANDOM%.log set DBGOPTS=-Dlog.level=300 -Dlog.file=- set DFLTLANG=-Duser.language.default=en set vmflags=-Xmx128m -Djava.library.path=.\lib del %LSOAEUSERDATAPATH%\las\las_*.log echo writing debug/log info to: %debugFile% @echo on "%JAVA%" %vmflags% -cp %lasLibs%;%lmsLibs%;%tomcatLibs%;%trexLibs%;%LAFLibs% -Duser.datapath=%LSOAEDATAPATH%\las -Duser.language=%LANGUAGE% %DFLTLANG% %DBGOPTS% -Duser.config=%CONFIG% com.sap.hcm.ls.las.ide.IDE %1 > %debugFile% 2>&1