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The changes to the codecs done in Python 2.4 added support
for universal newlines:

Python 2.4.1 (#2, Mar 31 2005, 00:05:10) 
[GCC 3.3 20030304 (Apple Computer, Inc. build 1666)] on darwin
Type "help", "copyright", "credits" or "license" for more
information.
>>> open("foo.py", "wb").write("# -*- coding: iso-8859-1
-*-\rprint 17\rprint 23\r")
>>> import foo
17
23
>>>