Interestingly though, the formatting is slightly different between defining the blocks and using (recalling) the blocks. When I recall the blocks, the text appears a line below the enumeration labels (see example + attachment below).

I can reproduce this but for mkiv (context <file>) the output in both cases is the same.

Wolfgang

Weird... when I try it here on mkiv, there is no output where I define the blocks (see attachment).

I'm trying this on the "current" mimimals (downloaded today) on mac os x (10.6.5).
[LuaTeX beta-0.64.0-2010111215, ConTeXt  ver: 2010.07.30 11:35 MKIV  fmt: 2010.11.19]

Could this be some sort of bug?  Is there anything you'd like me to try.

thanks
Glen