Programs that recognize long file names must indicate this by including the NEWFILES statement in their module definition file. This statement directs the linker to set a bit in the executable file header. It indicates that the module supports long file names. This bit is meaningless in a DOS Session and on versions of the OS/2 operating system prior to Version 1.2. Programs written for OS/2 Version 1.2 (and all later versions) installable file systems should set this bit. Bound programs that have this bit set can see files with long file names in OS/2 mode, but only files with 8.3 file name format in DOS Sessions.

This bit has meaning when attached to program modules, not when attached to DLLs. Whether the program recognizes long file names format is entirely dependent on the value of its NEWFILES bit and the effect of the bit extends into any calls to DLLs. In order to be compatible with all OS/2 file systems, dynamic link libraries must not create internal temporary files or directories that do not comply with 8.3 file naming conventions. In addition, dynamic link libraries cannot return long file names to an application. (The caller might be running on a file system that only supports 8.3 file names and use the returned name to create a file.)

OS/2 applications which do not recognize long file names can run with some restrictions. For these programs, long names (including device names) are filtered according to the following rules: