flash actionscript: Does the simulate download feature not work with preloaders?

I see from a search that this question has been asked before but not answered.
My experience is that it doesn't but it would be nice to have confirmation from
a more authoritative source!

Thanks. I have a site that tests ok in Flash (8.01), and in Dreamweaver on the
testing server. It's a little unpredictable on the remote server, but
consistently loads but doesn't respond in simulate download. I suspected the
preloader, but it also uses shared .swf files - does this cause problems?

This quote is from Joshua Hirsch?s tutorial:

?Although the Simulate Download feature is very useful, it doesn?t duplicate
loading something from a remote location. Always be sure to test preloaders by
loading the content from a remote server (ideally the same server that the live
content will eventually go on) before going live with your content.?

The first sentence is worded strange, but I think you get the picture.
http://www.macromedia.com/devnet/flash/articles/preloader_04.html