grep with file of patterns

Hi,
 
Only the last pattern in the text file of patterns is processed
 
C:\cygwin>grep --fixed-strings  --file=C:\patternlist.txt  C:\code.inc > C:\GREP_OUT.txt
Patternlist.txt contains two lines
function
class

Whatever pattern appears last in the file it is the one that is processed.
All other patterns are ignored.
 
Thanks
Al
 
win XP
cygwin 1 from 2006