[Dnsmasq-discuss] Local DNS resolution does not work from Windows hosts

[A C]

I have a mix of *nix and Windows XP hosts behind my router and none are 
configured to have FQDNs.  The router has all the IPs and hostnames in its 
/etc/hosts and the clients have their hosts files blank except for the 
typical localhost entry.  All the *nix hosts are able to query and resolve 
local host names.    However, the Windows machines all report back 
non-existant domain and never resolve.  Does anyone have any idea why?  One 
XP system is statically configured and connected by wire.  The other system 
is using DHCP over a wireless link.  dnsmasq is running on a Linksys WRT54G 
router with the latest OpenWRT firmware.

Thanks for any help,
-Alex

This is the current configuration:

domain-needed
bogus-priv
filterwin2k
localise-queries

local=//
#domain=

dhcp-authoritative
dhcp-range=192.168.1.100,192.168.1.250,255.255.255.0,96h

read-ethers

dhcp-option=6,10.0.0.253,10.0.0.253