CVS status:

New 4.0 disk layout.

Squashfs-tools: Squashfs 4.1 prerelease status.  These have new
support for LZMA compressed filesystems, and pseudo dynamic files.

kernel: this directory now tracks the git tree at kernel.org, following
mainlining of Squashfs.  Please read the README in kernel/ for further
information.  Currently out of sync with the git tree on kernel.org.

kernel-2.4: prehistoric.  Not updated since the 3.1 release.  If you still need
Squashfs support in the 2.4 kernel then use the squashfs 3.1 release.  This
is the last release that supported 2.4 kernels.