GTK 2.0 is now used. FreeType or Windows native fonts are now used instead of X font services, improving display/print similarity. Some usability improvements were made. More objects handle default settings (double-clicking the icon). The renderer backends were redone, so the process of making a renderer is much easier, yet more powerful. Better arrows that don't overshoot lines and an autosave feature was added. More exporters were added (XSLT, JPEG, PNG). Python scripting was improved. Comments may now be attached to UML classes. Many new shapes were added, including over 200 Cisco shapes. Support for animated objects was added. Many, many bugs were fixed.
The core now entirely talks UTF-8 (to prepare for gtk2 conversion),
countless bugs have been fixed, and a sheet editor and a tree view of
the diagram have been added.
Fixes for bugs in FS objects and with bringing up properties window when a group of objects that don't implement the properties code are selected, new sheets (Pneumatic, Electric, and Civil), export filters (TeX PSTricks and DXF), and a new polygon object, selecting between symmetric, smooth, and cusp vertex styles for the segments in a bezier line object, some fixups to make sure preferences and save files are written with LC_NUMERIC set to C, use of gdk-pixbuf in preference to imlib if it is found on the system, a simple (unfinished) bonobo component, a new plugin system with a plugin manager that can prevent plugins from being loaded, a better distance algorithm for objects handled by the custom sheet code, and a new select submenu in the right click menu that makes it easier to select groups of objects.