PS1 has ruined line wrap

[Jonathan Reed]

I was using this as my ps1
PS1='[\u@\[\e[1;31m\]\h\[\e[0m\]:$PWD]\$ '

But I wanted to label the title of my xterm windows with the hostname of
system Im logged into. So I added the following
PS1='[\u@\[\e[1;45m\]\h\[\e[0m\] $PWD]\e]2;@ \H\a\$ '

It works great except for it rewrites the current line if I write text past
the current window size (regardless of the window size).
filenameERVERNAME:/home/jreed]$ cat /a/really/long_fi

Any suggestions?

Thanks,
Jonathan