For some reason when I use copy to working set while editing an xref the orientation of the object goes haywire. When I add the object, no problems. I have to repeat this process roughly 400 times. I either have to have an object copied 400x to add to each reference over and over again or I have to align each object after I add it to the xref. It's enough of a pain to have to copy this to the xref but I've got a method that might speed things up which I can't use if I have to keep reorienting the objects.
I'm using ACAD Mechanical 2011.
Can you share with us your drawing file and the exact steps to reproduce the problem. I will have a look into it as soon as i have them from you.
I can't send the actual files but I'll see if I can send something representative that consistently gives me the same problems. I thought it might be a ucs problem but I get the same results when I align and set to world.
Are you looking for something similar to the one below,