Problem with Flash rendering HTML <br> tags

I have a site which gets the information to display in text fields from a MySQL database which is accessed using PHP. The PHP file accesses the database, saves the contents in a variable and returns it to be displayed in flash.

The problem is that whenever <br> tags are encountered, Flash skips 3 lines instead of just placing the text on the next line.

example: **hello <br> world **

is shown in Flash text field as (note the extra line breaks):
**hello

world**

instead of:
**hello
world

**I’ve tried to output the text contents directly from the PHP file by calling it directly through the browser (ie calling www.path/file.php), and all contents and <br> tags show as they should, so it must me a problem with the way Flash is interpreting the HTML tag and not the PHP file.

I’m getting the text in flash using the code below on a text field:

 ActionScript Code:
 [FONT=Courier New][LEFT][COLOR=#0000ff]onClipEvent[/COLOR] [COLOR=#000000]([/COLOR][COLOR=#0000ff]load[/COLOR][COLOR=#000000])[/COLOR][COLOR=#000000]{[/COLOR]

[COLOR=#0000ff]loadVariables[/COLOR][COLOR=#000000]([/COLOR][COLOR=#ff0000]“http://www.path/file.php”[/COLOR], [COLOR=#0000ff]this[/COLOR], [COLOR=#ff0000]“GET”[/COLOR][COLOR=#000000])[/COLOR];
[COLOR=#000000]}[/COLOR]
[/LEFT]
[/FONT]

Thanks for any help you can give!

[more info given in post #6 below]