source of Photo CD problems?

I've done some searching on the mailing lists and forum, and periodically,
someone will pop up complaining about the quality of images converted from
Kodak Photo CD (PCD) format.

I found something that might explain what the problem is.  Ted Felix has an
entire section ([url]http://tedfelix.com/PhotoCD[/url]) on his site about
PCD images, and according to him Kodak's software and a lot of others
misread the luminance data, using a LUT that compresses the highlights
incorrectly.  He says that the white papers at Kodak indicate that the
luminance data in the files is actually linear in the range (0,346) -- and
he patched their Windows DLL to replace the LUT and gets better images.

A couple of readers sent him examples converted from IM.  I tried the
reference image on his site -- plain grayscale swatches -- and it certainly
appears to be true.

Has anyone else heard of this before?  It's not clear to me how old the info
on the site is; I emailed Felix and have not heard back.

NW