Good question. It should work if you do this: 1. Load the shapefile into SMS. 2. In the GIS module, choose "Shapes -> Feature Objects" from the Mapping menu. This should create arcs in the map module. 3. Switch to the coverage in the map module with your arcs and do Map->Scatter. This should create points along the arcs at the correct elevations connected by breaklines. Let us know if it doesn't work as expected.