diff --git a/src/providers/FileSystemProvider/FileSystemProvider.ts b/src/providers/FileSystemProvider/FileSystemProvider.ts
index 90eb435a..3eec691d 100644
--- a/src/providers/FileSystemProvider/FileSystemProvider.ts
+++ b/src/providers/FileSystemProvider/FileSystemProvider.ts
@@ -70,7 +70,18 @@ export function generateFileContent(
   sourceContent: Uint8Array
 ): { content: string[]; enc: boolean; eol: vscode.EndOfLine } {
   const sourceLines = sourceContent.length ? new TextDecoder().decode(sourceContent).split("\n") : [];
-  const eol = sourceLines.length && sourceLines[0].slice(-1) == "\r" ? vscode.EndOfLine.CRLF : vscode.EndOfLine.LF;
+
+  // Detect eol style (a return value), and if CRLF then strip the \r character from end of source lines
+  let eol = vscode.EndOfLine.LF;
+  if (sourceLines.length && sourceLines[0].slice(-1) == "\r") {
+    eol = vscode.EndOfLine.CRLF;
+    for (let i = 0; i < sourceLines.length; i++) {
+      if (sourceLines[i].slice(-1) == "\r") {
+        sourceLines[i] = sourceLines[i].slice(0, -1);
+      }
+    }
+  }
+
   const fileExt = fileName.split(".").pop().toLowerCase();
   const csp = fileName.startsWith("/");
   if (fileExt === "cls" && !csp) {