Version:           1.2.0 (using KDE 4.7.2) 
OS:                Linux

Using either Konqueror with webkit, Rekonq or Arora, this html is not displayed correctly when the browser window is narrow:

 <table border="1">
 <tr>
 <td>aaaaaaaaaaaaaa&shy;bbbbbbbbbbbbbb</td>
 <td>something</td>
 </tr>
 </table>

Reproducible: Always

Steps to Reproduce:
Put the above html code into a html file.
Open it with a browser using webkit.
Narrow the browser window until you would expect the line in the left table cell to break (at the soft hyphen).

Actual Results:  
The line with soft hyphen is not broken. Webkit apparently thinks it has broken the line, causing the "bbbbbbbbbbbbbb" after the soft hyphen to overlap with the "something" to the right.

Expected Results:  
The soft hyphen should appear as a hyphen at the end of the "aaaaaaaaaaaaaa", and "bbbbbbbbbbbbbb" should move to the next line.

Using the unicode character for soft hyphen (rather than the html entity as in this test case) does not seem to make any difference. I would like both to work before closing the bug.

Konqueror works fine with KHTML.