Actually, I was seeing some clipping problems and thought it was a bug in 1.04. Turns out that in trying to get the TV-out working again on my card, I somehow set "use Z buffer" true on the video setup. It was causing all sorts of hell.
Unchecking it fixed it. Now the only clipping issues I still see are planes sometimes below the edge of the cockpit or behind the backrest for a few frames until it figures out it should be hidden.
The younger guys just don't appreciate what we really have these days. You just can't understand how amazing this all is unless you've played Microsoft Flight Simulator with wire-frame "scenery" (ok, grid), flat wireframe mountains along one side of the scenery (boy, those were fun and visually-exciting to fly through the valleys from one side to the other), and the cons that stayed dots no matter how close they got to you.
I'll take a few clipping problems any day.