The following package was updated in the Cygwin distribution:
*** nedit-5.5-4
This release includes a patch for proper operation with X11R7.4.
Since the X server update, some NEdit windows won't resize any more.
I can't grab a corner, and the 'Resize' option in the window menu is greyed-out.
Examples include the 'Find...' and Replace...' dialogs and, more importantly,
the output from 'Shell' menu items that have their command output set to 'dialog'.
I use this a lot, e.g. I have one for 'cvs diff'. The size of the output can vary
enormously, so it's important to be able to resize the dialog.
This definitely worked prior to the X11R7.4 upgrade.