Yet another note.. but I figure any information can help:

 As I rotate around the scene and try to troubleshoot with different methods.. I discovered the weirdest thing. I'm comparing the first and last frame, both identical. Then I rotate the camera, all the sudden V4's mesh/morphs expand! Then I scroll to the last frame, the morphs/mesh revert back! Then without rotating, I scrub between the first and last frame, and the mesh/morphs don't move......

 Something very strange is going on here. :(