Index: etags.el
===================================================================
RCS file: /sources/emacs/emacs/lisp/progmodes/etags.el,v
retrieving revision 1.218
diff -u -u -r1.218 etags.el
--- etags.el	5 Dec 2009 22:01:04 -0000	1.218
+++ etags.el	27 Dec 2009 00:26:41 -0000
@@ -1708,7 +1708,8 @@
 					      (tags-table-files))))))))
 	(t
 	 ;; Initialize the list by evalling the argument.
-	 (setq next-file-list (eval initialize))))
+	 ;; expand-file-name in case the tags-loop-operate goes to a new dir.
+	 (setq next-file-list (mapcar 'expand-file-name (eval initialize)))))
   (unless next-file-list
     (and novisit
 	 (get-buffer " *next-file*")