When you import .mod into milkshape it only imports the 1st LOD. It's probably a plugin limitation rather than a milkshape one. My advice (just an educated guess) would be to generate the LODS as separate .ms3d files and then bring them into milkshape using the merge function. Milkshape will only merge it's native format. If the dts exporter handles LODS (probably does) you could then export with LODS intact from milkshape.
That's what I thought.. I thought that I remembered something like this as a limitation with the plugin.
I can try the separate LODs export and then see if that works.. wonder though if there's a DTS exporter for Max 3..
There is a DTS exporter for Max 3. The Milkshape DTS exporter does handle LODs. I use the merge function in MilkShape because I have separate Hitboxes for my Primary/Fwd/Aft/Port/Starboard Hull areas and for my mount points (lights, weapons, turrets, exhaust, contrail and damage emitters).
Most ships have 1 skin (1024 x1024) and fighters have a secondary transparent skin for windows - allows for 1st person fighter view and mounting of pilots. I will add ground assault vehicles (GROPOS) later and ground missions.
Torque is different as LOD is done by pixel height rather than distance.
Is there an e-mail address that I can send you the files in .ms3d format?