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The output grid from the STREAMLINK function is larger than it should, given the number of rows and columns.
The grid compression scheme within this function is not being correctly applied. This is a known issue.
This issue has been addressed in ArcGIS Version 8.1.2
In ArcGIS 8.1, you can use the INT() function to create a new grid with the compression correctly implemented. Running the INT() function does not affect the contents of the data because the result from STREAMLINK() is already an integer grid.
Grid: out_grid1 = streamlink (net_grid, dir_grid)
Grid: out_grid2 = int (out_grid1)
Grid: kill out_grid1