Nah it shouldn't, at least not how it's written at the moment ;)
Have a look at your kill method - you might be resetting it, but you're also spawning as many enemies as you're removing. Only one line that's in the loop should actually be in a loop, take the other two outside of it and it works.
A new version of this scenario was uploaded on Wed May 06 19:06:07 UTC 2009
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