AO distribution Directory structure mixed up

Jared,
Sorry I have not replied earlier. I have been doing some testing and my
first entry here was a little mixed up.
Let me clear this up so we can debug the issue.

Here is the scenario

1. Simple AO (Not an MSI)that runs a command (optional) and has a file
for distribution
(Required) in the AO.
2. AO has a %ZENSERVER% macro
3. ZENSERVER macro = \\zenserver\vol1
4. Application file path = %ZENSERVER%\PKG\VENDOR\file.txt
5. Zenserver is a ZFS Declared variable pointing to "vol1:"
6. The Distribution has the "KEEP SAME SOURCE PATH" checked.

When the AO is distributed it comes across to the subscriber fine in NDS
The Issue is in the file structure that is created on the Server.
on the server I am getting
VOL1\zen\softwaresoftware
or
VOL1\zen\softwareware

When tested against an MSI everything works fine when using the
%zenserver% variable
We assume that this is because in an msi we use the "source" under the
common tab and that ZSM uses this entry and is able to set the Directory
structure correctly from this. Also the MSI does not have seperate
Application files defined.

This issue with the directory structure only happens on a regular AO that
has application files.

If we then setup a Macro in the regular AO called %SOURCE_PATH%
the Directory structure is created correctly on the subscriber.
So under Macros we would have
ZENSERVER = \\ZENSERVER\VOL1
SOURCE_PATH = %ZENSERVER%\PKG\VENDOR
We can even use the ZENserver variable inside the %source_path% as a
nested macro with no issue.
Under application files we have
%SOURCE_PATH%\file.txt

So we know that this is not an issue with the zenserver
variable, but an issue with the way ZSM is reading this inforation from
the AO.