Issues with sh404 and J2.5 r1601

I've seen the posts for earlier versions of Flexicontent but am still having issues with getting Flexicontent 2.0.0 RC9br1601 to work with sh404 3.7.0.1485. When I enable sef Urls in sh404 I'm getting the base domain for all links. If I change to simple encoding (in sh404) for the flexicontent extension I'm getting URL's like:
/component/com_flexicontent/Itemid,350/cid,37/view,category/
If I leave as non-sef I'm getting 404 errors as Joomla is using the category/alias values as set in the menu link (Flexicontent Category type).
If I use the Joomla Router option then I am able to open the category/alias value but when I navigate to a flexicontent item I'm not getting optimal SEF urls, as it is inserting /item/#ID into the URL. This option does work but is not optimal...is there a fix? Can PM Super User login if needed.

We have done some testing of SH404SEF already

Try using SH404SEF
-- Use built-in SH404SEF plugin for flexicontent URLs
-- "without .htaccess file" setting (SH404SEF configuration)
-- rename joomla folder rename .htaccess file to htaccess.txt
-- in Joomla Global configuration enable SEF urls but do not enable "Use URL rewriting"


At this time,
we focus on finishing current version for JED announcement,

we will be testing third party SEF component as time becomes available

Regards