Just curious, does anyone know how you can make the exported xfile reference textures/jpgs from a local directory instead of the full path? Or, so that I could go in and edit the xfile by hand, does anyone know why the file dies if you try and shorten the name/path burried in it? does it hide the "number of chars" somewhere so that it so it reads exactly the length of the filename?

Export your MAX file to a 3DS file and its done