database issue.
The npc_faction_entries table contains all the faction hits. The MW_055 source by default just populates it with faction losses, and some of those losses are up to -100 points per kill. (I think it only takes around 1100 points lost to go from indifferent to scowling)
Of course, you are free to modify the table as you see fit. There's another thread started by govtcheese where I and a couple others talked about how to add other faction hits in, like faction increases.
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