Using l2h98.2b6, this file illustrates the problem

    \documentclass{article}
    \usepackage{alltt,html}
    \newenvironment{myalltt}{\begin{alltt}}{\end{alltt}}

    \newcommand{\foo}{\ \htmladdimg{../return.gif}\ }

    \begin{document}
    \begin{myalltt}
    one line \foo
    another line \foo
    and a third  \foo
    \end{myalltt}
    \end{document}

All the <BR>s disappear at the end of each line using myalltt. Using
a naked alltt they appear.

Graham

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