The algebraic-geometric approach is extended to study solutions of
N-component systems associated with the energy dependent Schrodinger operators
having potentials with poles in the spectral parameter, in connection with
Hamiltonian flows on nonlinear subvariaties of Jacobi varieties. The systems
under study include the shallow water equation and Dym type equation. The
classes of solutions are described in terms of theta-functions and their
singular limits by using new parameterizations. A qualitative description of
real valued solutions is provided