I had a similar problem. I discovered by going to https://developer.blender.org/T39373 that the following has changed: “Collapse Short Edge” from Blender 2.69 is now called “Collapse Subdivide” in Blender 2.7
I think the other student made the same mistake I did – set it to the new “Collapse edges” option because it sounds the most similar. When collapse subdivide seems to give results more similar to your video. Let me know if this is correct, thanks!
