I reinstalled Pirates 2004 a few days ago.
Of course I added some flags and sails to individualize my ship.
But every time I add just one single flag or sail to my custom folder in game from time to time some ships have pink flags and sails.
I tried various combinations and files, all with the same result.
I than decides to pick a sail and flag and replace the standard pirates files with these and now everything works fine, no pink flags/sails at all.
But why is this?
Does anyone else have this phenomenon?

Pink is a default color when the game can't find the correct dds file. Possibly the desired flag was mis-named or somehow corrupted. That usually means a file is in the wrong place or the wrong size...