Hi Mike:

Yes, there is an extra stitch that appears nothing more than fraying on the pics from the website. The cataloger, who was well versed in textiles but not flags specifically described it as a "woolen stitch," if memory serves, or something like that. The stars were machine sewn to the saltire (early machine), but the stitch I'm talking about was extra, decorative, and separate from the thread used in attachment.

This would seem to be a "signature" of this seamstress, and not something generally done.
Josh