--- pm_email_notify.module.original	2010-12-27 14:12:23.911300094 +0200
+++ pm_email_notify.module	2010-12-27 14:12:27.224290665 +0200
@@ -127,7 +127,10 @@
   $tokens = array(
     '!author' => $message['author']->name,
     '!pm_subject' => trim(drupal_html_to_text(check_plain($message['subject']))),
-    '!pm_body' => trim(drupal_html_to_text(check_markup($message['body'], $message['format'], FALSE))),
+    '!pm_body' => 
+      $message['pm_email_notify_send_as_html'] // set this flag as follows: privatemsg_new_thread( , , , array('pm_email_notify_send_as_html' => TRUE))
+      ? trim($message['body'])
+      : trim(drupal_html_to_text(check_markup($message['body'], $message['format'], FALSE))),
     '!thread' => $message['thread_id'],
     '!user_uid' => $recipient->uid,
     '!message' => url('messages/view/' . $message['thread_id'], array('absolute' => TRUE, 'language' => $language)),