filelist.c *does* have the code to deal with DOS line breaks (line 187),
though I cannot guarantee that it works. You can (1) make an `od -c'
of the flo file, and (2) run ifcico with `-xl' flag and look into the
debug log. And send both to me if you still do not understand why it
happens (and diffs fixing the bug if you do :).
Eugene