Hello,
folding for comments seems to fail in two cases:
1) If there is a comment at the first line of the file
%comment
\documentclass{article}
\begin{document}
text
%comment
text
\end{document}
then no comment is folded.
2) If the region contains
text
%
text
then no comment in the region is folded.
GNU Emacs 22.3.1 (i386-mingw-nt5.1.2600) of 2008-09-06 on SOFT-MJASON
auctex-11.85 with tex-fold.el dated on 2008-9-23
Regards,
Ullrich Mönich
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