First try was with DVD Chapters and no go, so I tried with fixed length chapters, and still didn't work.
Here's the xml from the first CD
<?xml version="1.0"?>
<!DOCTYPE videocd PUBLIC "-//GNU//DTD VideoCD//EN" "http://www.gnu.org/software/vcdimager/videocd.dtd">
<!-- SVCD created with DVD2SVCD ver. 1.0.5 build 2 -->
<!-- Download DVD2SVCD:
http://dvd2svcd.doom9.net -->
<videocd xmlns="http://www.gnu.org/software/vcdimager/1.0/" class="svcd" version="1.0">
<option name="svcd vcd30 mpegav" value="false"/>
<option name="svcd vcd30 entrysvd" value="false"/>
<option name="relaxed aps" value="false"/>
<option name="update scan offsets" value="false"/>
<info>
<album-id>Rush Hour 2</album-id>
<volume-count>2</volume-count>
<volume-number>1</volume-number>
<restriction>0</restriction>
</info>
<pvd>
<volume-id>RUSHHR2</volume-id>
<system-id>CD-RTOS CD-BRIDGE</system-id>
<preparer-id>dvd2svcd</preparer-id>
</pvd>
<filesystem>
<folder>
<name>EXTRA</name>
<file src="C:\Program Files\DVD2SVCD\Movie\VCDXBuild_Script_1.xml">
<name>dvd2svcd.xml</name>
</file>
</folder>
</filesystem>
<segment-items>
<segment-item src="C:\Program Files\DVD2SVCD\Movie\TitlePicture.bmp.mpg" id="segment-titlepicture"/>
<segment-item src="C:\Program Files\DVD2SVCD\Movie\ChangeCDPicture.bmp.mpg" id="segment-changecd"/>
</segment-items>
<sequence-items>
<sequence-item src="C:\Program Files\DVD2SVCD\Movie\bbMPEG_Muxed_File00.mpg" id="sequence-00">
<entry id="entry-chapt-01">0.000</entry>
</sequence-item>
</sequence-items>
<pbc>
<!-- chapter-00 is the titlepicture -->
<selection id="chapter-00">
<bsn>1</bsn>
<next ref="chapter-01"/>
<return ref="end"/>
<timeout ref="chapter-01"/>
<wait>5</wait>
<loop jump-timing="immediate">1</loop>
<play-item ref="segment-titlepicture"/>
<select ref="chapter-01"/>
</selection>
<selection id="chapter-01">
<bsn>1</bsn>
<prev ref="chapter-00"/>
<next ref="ChangeCD"/>
<return ref="end"/>
<timeout ref="ChangeCD"/>
<wait>0</wait>
<loop jump-timing="immediate">1</loop>
<play-item ref="sequence-00"/>
<select ref="chapter-01"/>
</selection>
<selection id="ChangeCD">
<bsn>1</bsn>
<prev ref="chapter-01"/>
<next ref="chapter-00"/>
<return ref="end"/>
<wait>-1</wait>
<loop jump-timing="immediate">1</loop>
<play-item ref="segment-changecd"/>
<select ref="chapter-01"/>
</selection>
<endlist id="end" rejected="true"/>
</pbc>
</videocd>
The "dvd2svcd chapters file.ini" is below
[CHAPTERS]
Chapter0001=0
Chapter0002=6556
Chapter0003=19352
Chapter0004=31150
Chapter0005=39934
Chapter0006=47940
Chapter0007=55790
Chapter0008=67800
Chapter0009=73729
Chapter0010=84716
Chapter0011=91807
Chapter0012=99177
Chapter0013=107625
Chapter0014=111423
Chapter0015=117986
Chapter0016=121700