> You will have persistent loop on 7600/6500.
>
> It is probably not strictly correct, while the MPLS keeps regenerated with
> 255, the IP TTL should be decreased by both ingress and egress PE.
>
> But I think we're hitting PFC3B HW limitation where ttl dec does not work as
> it should at egress. Supposedly fixed in PFC3C and enabled with 'mls mpls
> ttl-dec' but I've never actually observed it working correctly.

Thanks for confirming, PE1 is indeed a 7600/PFC3C.



> Your immediate fix is just, as you do, is to disable static route recursing

Yeah, we are going to do that.



Thanks,

Lukas                                     
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