We faced a problem while trying to configure l2 mpls vpn on a GigE interface of a 7206 VXR router. (IOS-124(4)XD2 NPE-G2). The problem is that when applying the command "mpls l2transport route x.x.x.x vcid" to the specific subinterface the router stops proccessing any packet on the whole physical interface. The GiG port used is one of the available ports on the NP-GE2 engine.
Has this ever happened to anyone else outhere? Is there any logical explanation or it is just a bug.