[imp] Another IMP Folders issue - folders not displayed

[Akom]

Hi all,

I just updated (head) for the first time in a month, and after setting
everything up, the only problem with the whole install is this:

The IMP folder page shows only INBOX

I have about 15 folders under mail/ directory, and they are present on both the
portal page and in the drop-down, so IMP knows about them.  They just do not
show up on the folder page.  If I expand/collapse all, the icon changes from
plus to minus but no new folders show up.

My servers.php config has not changed, and I even tried deleting the sql row in
horde_prefs for "expanded_folders" (can't remember the name) - that didn't
help.
Also tried disabling "Use IMAP folder subscriptions" with no effect.

INFO:
I am using: Gentoo, latest PHP/Apache
IMAP with imp as auth.

My imp/config/servers.php:
$servers['imap'] = array(
    'name' => 'IMAP Server',
    'server' => 'localhost',
    'hordeauth' => false,
    'protocol' => 'imap/notls',
    'port' => 143,
    'folders' => 'mail/',
    'namespace' => '',
    'maildomain' => 'the.domain',
    'smtphost' => 'localhost',
    'realm' => '',
    'preferred' => '',
    'dotfiles' => false,
    'hierarchies' => array()
);

Don't know what else to include here...

Anyone else seeing this behaviour?

PS: my other users are seeing the same thing.

Thanks,
Akom