Smilies being limited to 127px wide

I noticed in my 3.0.6-RC3 board that smilies wider than 127 pixels are being shrunk so they do not exceed the width of 127.

When you go to "Add Multiple Smilies" and the page auto-detects the width & height, it is filling in the width of 127 for smiles bigger than 127. In 3.0.5 this same page shows the correct dimensons of the smilie.

Also, if you try to manually type in the correct width/height dimensions for a smilie in the "Add Multiple Smilies" page or in the individual smilie Edit page, it is ignored and changed back to 127.

The culprit seems to be in acp_icons.php. Not sure why there is a function in there that shrinks smilies down to 127 (@ line 93)?