XP folder settings flaw?

Archived from groups: microsoft.public.windowsxp.configuration_manage (More info?)

I'm running a system with Win XP Pro and SP1 installed. The folder settings
in different folders were affecting each other so I tried the solutions to
increase the number of folder settings remembered to 8000. The registration
entry file is as follows:

Windows Registry Editor Version 5.00

[-HKEY_CURRENT_USER\Software\Microsoft\Windows\ShellNoRoam\BagMRU]
[-HKEY_CURRENT_USER\Software\Microsoft\Windows\ShellNoRoam\Bags]

[HKEY_CURRENT_USER\Software\Microsoft\Windows\Shell]
"BagMRU Size"=dword:00001f40

[HKEY_CURRENT_USER\Software\Microsoft\Windows\ShellNoRoam]
"BagMRU Size"=dword:00001f40
[HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Policies\Explorer]
"NoSaveSettings"=dword:00000000

[HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Group Policy
bjects\LocalUser\Software\Microsoft\Windows\CurrentVersion\Policies\Explorer]
"NoSaveSettings"=dword:00000000

[HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Group Policy
Objects\LocalUser\Software\Microsoft\Windows\CurrentVersion\Policies\Explorer]
"**del.NoSaveSettings"=" "

The folder settings worked fine for a while but when new folders were
created, the same problem surfaces again. The settings of the latest picture
folder was actually affecting the settings of my control panel window.

Also, there appears to be something wrong with the system as well. The
settings of the folders in "My Picture" folders are missing when I accessed
the same folder through My computer>My Documents>My Pictures but the settings
are fine when accessed through the "My Pictures" short cut in the windows
menu and through My computer>D>My Documents>My Pictures.

Can anyone help with this or is Microsoft working to get rid of this flaw?