AucTeX fontifying: mishandling $ within \verb argument and verbatim environment.

[Adam]

For example

...in your \verb!$PATH! blah blah
blah
\begin{verbatim}
$ passwd
Changing password for USERID
(current) UNIX password: 
New password: 
Retype new password: 
passwd: all authentication tokens updated successfully
$ logout
\end{verbatim}
blah
blah

Everything from PATH through {verbatim} and from logout onward is colored 
as if in math mode. Anyone know how to fix this?

I'm using GNU Emacs 21.1.1, AucTeX 10.0g, on Mandrake 8.2 Linux.

-- 
Thanks,
Adam