That is correct, the compiler settings do not migrate from version 1.x to version 2.x.  The reason is that Simply Fortran's compiler settings between versions are stored separately to allow each version to access compilers at their own respective locations.  However, this separation also means that compiler flags do not persist between versions.

The compiler flags set via Compiler Options are also not project-specific.  If you wish to store any compiler flags within a project itself, they should be entered in the Flags section under Project Options.

So I wouldn't necessarily call the issue a bug, more an "inconvenience by design," although this issue probably should not exist.

So, I opened it in SF2.5 and it doesn't copy over the project "stuff".  (ie compiler flags)