I use minicom for console connections.  See my screenshot below on settings that I use..

As for your ifconfig output, your upstream device is not assigning an IP to eth0.  If you're using a cable modem, try rebooting the cable modem and then bringing up the Shield.  

I've run into this problem where it just doesn't want to pickup an IP and I've not been able to figure out why.  It happened from time to time on the Itus images to, so I don't know if its hardware or software related.

You may want to try unplugging the Shield for a few minutes as well..  Once it does link properly, you won't have any problems.

I've screenshot my ifconfig as well. You can see where your eth0 isn't getting assigned an DHCP IP.  By default, my image replicates the router firmware where eth0 = WAN and is DHCP assigned.  eth1/eth2 are bridges to br-lan and acts as a DHCP server to the LAN.

Running Itus Shield v2 Firmware

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NAML