It resulted in great fps loss. In addition I found IC Lod went wrong.
I think I manually deleted all files of REAVWD, but the wrong LoDs remained.
Considering they were gone when I deleted DinstantLOD folder, it's related to files in the folder. But I cannot single out culprit.. Although I deleted all IC whatever in the folder, they were still there.
Anyone who know about it give me a hint.. I cannot simply test 11,000 files manually

Screenshots
http://img13.imageshack.us/my.php?image=oblivion200902242154052xq4.jpg see left
http://img13.imageshack.us/my.php?image=oblivion200902242154129eq5.jpg see right
http://img13.imageshack.us/my.php?image=oblivion200902242154524up8.jpg
http://img12.imageshack.us/my.php?image=oblivion200902242155156ox3.jpg
they are gone when I get near to them.