It's notorious that NWC after the D.C. or D.S. does not applies the master repeats.
Well, that's one of the two "standards" and has its reasons. 
What happens with the lyrics looks instead as a bug.
I'm not one of the experts mentioned by Mike but I can suggest a workaround as follows.
!NoteWorthyComposer(2.751)
|Editor|ActiveStaff:1|CaretIndex:21|CaretPos:-1
|SongInfo|Title:""|Author:""|Lyricist:""|Copyright1:""|Copyright2:""
|PgSetup|StaffSize:16|Zoom:4|TitlePage:Y|JustifyVertically:Y|PrintSystemSepMark:N|ExtendLastSystem:N|DurationPadding:Y|PageNumbers:0|StaffLabels:None|BarNumbers:Plain|StartingBar:1
|Font|Style:StaffItalic|Typeface:"Times New Roman"|Size:10|Bold:Y|Italic:Y|CharSet:0
|Font|Style:StaffBold|Typeface:"Times New Roman"|Size:8|Bold:Y|Italic:N|CharSet:0
|Font|Style:StaffLyric|Typeface:"Times New Roman"|Size:7|Bold:N|Italic:N|CharSet:0
|Font|Style:PageTitleText|Typeface:"Times New Roman"|Size:24|Bold:Y|Italic:N|CharSet:0
|Font|Style:PageText|Typeface:"Times New Roman"|Size:12|Bold:N|Italic:N|CharSet:0
|Font|Style:PageSmallText|Typeface:"Times New Roman"|Size:8|Bold:N|Italic:N|CharSet:0
|Font|Style:User1|Typeface:"MusikDingsSans"|Size:18|Bold:N|Italic:N|CharSet:0
|Font|Style:User2|Typeface:"Times New Roman"|Size:8|Bold:N|Italic:N|CharSet:0
|Font|Style:User3|Typeface:"Times New Roman"|Size:8|Bold:N|Italic:N|CharSet:0
|Font|Style:User4|Typeface:"Times New Roman"|Size:8|Bold:N|Italic:N|CharSet:0
|Font|Style:User5|Typeface:"Times New Roman"|Size:8|Bold:N|Italic:N|CharSet:0
|Font|Style:User6|Typeface:"Times New Roman"|Size:8|Bold:N|Italic:N|CharSet:0
|PgMargins|Left:1.27|Top:1.27|Right:1.27|Bottom:2.00|Mirror:N
|AddStaff|Name:"Staff"|Group:"Standard"
|StaffProperties|EndingBar:Open (hidden)|Visible:Y|BoundaryTop:12|BoundaryBottom:16|Lines:5|Color:Default
|StaffProperties|Muted:N|Volume:127|StereoPan:64|Device:0|Channel:1
|StaffInstrument|Trans:0|DynVel:10,30,45,60,75,92,108,127
|Lyrics|Placement:Bottom|Align:Standard Rules|Offset:0
|Lyric1|Text:"\n"
|Lyric2|Text:"two two two two\ntwo two two two\n"
|Lyric3|Text:"three three three three\nthree three three three\n"
|Clef|Type:Treble
|Key|Signature:C|Tonic:C
|Tempo|Tempo:220|Pos:10
|TimeSig|Signature:4/4
|Dynamic|Style:f|Pos:-8|Visibility:Never
|Note|Dur:Half|Pos:0|Opts:Lyric=Never
|Note|Dur:Half|Pos:0|Opts:Lyric=Never
|Bar
|Note|Dur:Half|Pos:0|Opts:Lyric=Never
|Note|Dur:Half|Pos:0|Opts:Lyric=Never
|Bar|Style:LocalRepeatClose|Repeat:2|Visibility:Never
|Ending|Visibility:Never
|Bar|Style:MasterRepeatClose
|Note|Dur:4th|Pos:0
|Note|Dur:4th|Pos:0
|Note|Dur:4th|Pos:0
|Note|Dur:4th|Pos:0
|Bar
|Note|Dur:4th|Pos:0
|Note|Dur:4th|Pos:0
|Note|Dur:4th|Pos:0
|Note|Dur:4th|Pos:0
|Flow|Style:DaCapo|Pos:10
|Bar|Style:SectionClose|SysBreak:Y
!NoteWorthyComposer-End