I had my FTP server running great until I installed 1.04, then had some issues regarding file and folder permissions on the FTP server.
I reset up the server from scratch but still was getting weird stuff from IE or Firefox using ftp://myIP#. After two hours of scratching my head I remember that I didn't reformat my drives because from firmware 1.03 to this, I read it wasn't necessary. I decided to reformat the drives after having exhausted every other solution to the problem and was convinced that I'd have to go back to 1.03. BUT AFTER A REFORMAT -- all was perfect again.
BTW, I find 1.04 much better, it seems snappier and the drives on the DNS-323 are more responsive!!!! Example, when writing to a drive on the DNS-323 (copying a file) if I tried to change the name of a folder on the same drive, the DNS-323 would stall and take like 20 seconds to make the name change (due to the fact stuff was being copied to the drive). Now there's no stalling and the name change happens almost instantly.