A system has an Ace which specifies a visible class FOO, where FOO is reachable from the root class. After initial compilation where the system is frozen or finalized, a local is removed, making class FOO unreachable from the root. When the system is recompiled, the compiler correctly detects the VD31 error. But when the local is added back in and compilation is resumed, the compiler dies during degree -3 (during dead code removal if system was finalized). Discovered in Release 3.3.7.