If STEP1 is giving RC as 12, STEP2 will execute and STEP3 is depend on STEP1 so this step (STEP3) will be FLUSH, but STEP4 is dependend on STEP3,
Will STEP4 execute or FLUSH?
As per my understanding all step following STEP2 should FLUSH, but practically this is not happening...
I guess this should answer some questions, ripped from the IBM manuals:
Use the COND parameter to test return codes from previous job steps and determine whether to bypass this job step. You can specify one or more tests on the COND parameter, and you can test return codes from particular job steps or from every job step that has completed processing. If any of the test conditions are satisfied, the system evaluates the COND parameter as true and bypasses the job step. If none of the test conditions specified on the COND parameter are satisfied, the system evaluates the COND parameter as false and executes the job step.
The system performs the COND parameter tests against return codes from the current execution of the job. If a test specifies a previous step that was bypassed, the system evaluates the COND parameter as false.