I chose the center of the drawing as the X,Y axis around which to perform the rotation.
When I view the result of the workspace, I have to zoom way, way in in order to find the rotated drawing features. Why is the rotator changing the drawing scale?
I have created a workspace that reads a georeferenced autocad drawing and writes to sql server. As part of my workspace I include a Rotator that alters the orientation of all drawing features for page layout purposes. The resulting coordinates are not important as long as they fall within the coordinate system and therefore remain valid for Geoserver's gridset.
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Perhaps this article will help? It is a bit painful to work with DWG-files and coordinate systems:
http://fmepedia.safe.com/articles/How_To/AutoCAD-text-scaling-and-rotation
I'd be surprised if the Rotator were causing the problem. Do you have any other transformers? Can you add Inspectors after the Reader and each of the transformers? That way you should be able to see exactly what occurs at each step of the process.