ID 356235 - Replicators with their point source set to a particle snap modifier can collapse to a single edge

Problem summary
When a replicator has its point source set to a particle snap modifier, some of the mesh instances can collapse to a line.

Customer reported version
modo.12.0v1

Customer reported platform
windows10

Steps to reproduce
1) Open Modo.
2) Select File>Open and load the attached scene.
3) Select the Animate layout and scrub through the timeline.
Result: Some of the replications are collapsed into a single line.

Workaround
Unknown. 

Reproduced by support
This bug has been reproduced in:
12.1v1 - Windows 10, OSX 10.13.5
12.0v1 - Windows 10
11.2v3 - Windows 10
11.2v1 - Windows 10, OSX 10.13.5

Earliest version tested
11.2v1 - Windows 10, OSX 10.13.5 - This feature did not exist before this version
Expected behaviour
Mesh instances should be an accurate instance of the prototype.

Actual behaviour
Some of the mesh instances collapse to a single line.