=== modified file 'src/insdel.c'
--- src/insdel.c	2012-09-11 04:22:03 +0000
+++ src/insdel.c	2012-09-13 02:47:36 +0000
@@ -1394,16 +1394,16 @@
 
   eassert (GPT <= GPT_BYTE);
 
-  /* Adjust the overlay center as needed.  This must be done after
-     adjusting the markers that bound the overlays.  */
-  adjust_overlays_for_delete (from, nchars_del);
-  adjust_overlays_for_insert (from, inschars);
-
   /* Adjust markers for the deletion and the insertion.  */
   if (markers)
     adjust_markers_for_replace (from, from_byte, nchars_del, nbytes_del,
 				inschars, outgoing_insbytes);
 
+  /* Adjust the overlay center as needed.  This must be done after
+     adjusting the markers that bound the overlays.  */
+  adjust_overlays_for_delete (from, nchars_del);
+  adjust_overlays_for_insert (from, inschars);
+
   offset_intervals (current_buffer, from, inschars - nchars_del);
 
   /* Get the intervals for the part of the string we are inserting--