Why is this not working?

Procmail/Smartlist problem - below is 'stock' code (fro smartlist dist) and
it isnt working for me.

1) The smartlist   '# Enable special handling for DSNs' recipe was
incorrect. Between all the [ ] classes there should be a space and a tab. In
the verison I downloaded from the official site, there were tabs, but the
spaces were missing. Without them, the DSN code was never matched. Having
changed the above...

2) If the '# Enable special handling for DSNs' is not matched, I expect the
next recipe to be executed and simply pass the mail to the procbounce
script. However this is never happening! The pass to procbounce recipe is
skipped over. The recipe has  ':0 Ahfw' so it should execute. Here is the
kicker, if I comment out the recipe in the braces about it (a compound
action which is never executed), the pass to procbounce recipe executes.
WTF?

Can anyone help. Using procmail that comes with redhat 7.0. Using latest
smartlist 3.15.

#
# Could it be a bounce message from a daemon?  Hand it down to procbounce
# which will evaluate it.
#

:0 wic
* $!^(Subject:(.*[^a-z])?Re:|\
     X-(Loop: $\listaddr|Diagnostic:)|$X_COMMAND:)
* ^FROM_DAEMON
| sed -e $cutoff_bounce' q' >tmp.request

  #
  # Sink all messages we can recognise to be queue warnings or
  # message-content specific errors
  #

  :0 Ah
  * ^Subject: \
     (Warning - delayed mail|\
      (WARNING: message ([^      ]+ )?|Mail )delayed|\
      (Returned mail: )?\
       (warning: c(an|ould )not send m(essage fo|ail afte)r|Unbalanced '"'|\
        Cannot send (within [0-9]|8-bit data to 7-bit)|\
        Data format error|Headers too large|Eight bit data not allowed|\
        Message (size )?exceeds (fixed )?maximum (fixed|message) size)|\
      Undeliverable (RFC822 )?mail: temporarily unable to deliver|\
      \*\*\* WARNING - Undelivered mail in mailqueue|Execution succee?ded)
  /dev/null

  :0 Ahb
  * ^Subject: \
      (Returned mail: )?\
        (Service unavailable)
  /dev/null

  :0 Ah
  * ^Subject: (Warning from|mail warning| ?Waiting mail)
  * ^(From|Sender):.*(uucp|mmdf)
  /dev/null

  :0 AhBD
  * $^(..?)?X-Loop: $\listaddr \(bounce\)
  * ^(..?)?Subject: You have been removed from
  /dev/null

  #
  # Enable special handling for DSNs
  #

  :0 A
  * ^Content-Type:[     ]*multipart/report;[    ]*\/[^  ].*
  * ^Mime-Version:.*1.*\..*0
  * MATCH ?? report-type="?delivery-status"?
  * B ?? ^Content-Type:.*message.*delivery-status
  {
     # If there were no fatal errors, drop it
     :0 B
     * ! ^Status:[      ]*5[    ]*\.
     /dev/null

     isadsn=yes
  }

  #
  # Anything that still survived is most likely to be a bounce message.
  #

  :0 Ahfw
  * ! ^X-Diagnostic:
  | procbounce

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