[c-nsp] Layer 2 Local Switching - 7606 ES-20

[Andrew K.]

I am attempting to aggregate multiple layer 2 switches into a 7606 
(12.2(33)SRE3) but I do not want the 7606 being part of the layer 2 network.

To achieve this I am trying to use layer 2 local switching between two 
router ports on a ES20 (7600-ES20-GE3C) card.

The configuration seems simple enough but I can not get this working.

7606# sh run
interface GigabitEthernet1/0/2
  description MM FIBER TRUNK TO CAT4500 (Gi1/1)
  no ip address
  no mls qos trust
!
interface GigabitEthernet1/0/3
  description SM FIBER TO LNS (Gi0/0/2)
  no ip address
  no mls qos trust

connect WORKTHISTIME GigabitEthernet1/0/3 GigabitEthernet1/0/2

7606#sh connection all

ID   Name            Segment 1              Segment 2                  
State
================================================================================
9 WORKTHISTIME    Gi1/0/3                Gi1/0/2                    UP

In theory I should be able to plug a host into both those ports, address 
them on the same subnet and pass traffic correct?

This cisco document confirms this should work : 
http://www.cisco.com/en/US/docs/ios/12_0s/feature/guide/fslocal.html#wp1172344

This does not seem to be working, am I missing something?

Any help would be greatly appreciated.

Thanks in advance,
Andrew.