QT4 sends processed hotkey events forward
There is a bug in VLC 1.1.0 QT4 interface that causes processed hotkey events to forwarded. So if volume up key from keyboard is pressed, VLC raises the volume, but it also sends same hotkey event forward and because of this Windows Mixer also raises volume.
Same applies to mute, so both VLC and Windows Mixers are muted. Right way would be that VLC eats all hotkey events it has processed and forwards only those, that it doesn't process.
Tested under Win32.