I'd say the flag is on "for no good reason", because the content is exactly the same as before manipulating $s (i.e. "hello"), and all characters occurring can be represented in plain ASCII.

What's gained by knowing that?

If the flag is on for no good reason, encode the text!
If the flag is on for a good reason, encode the text!

In reply to Re^4: UTF8 error when using Net::SFTP::Foreign by ikegami
in thread UTF8 error when using Net::SFTP::Foreign by deadpickle

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