Formatting Bug with LI & P (v2.4.3) - Using IE7

Hi I need help -- is there is a fix for this bug?

I am attempting to submit this code (as viewed in the FCKEditor source):

<p>
<li>World-class technology,&nbsp;local support</li>
<li>Speak with experts that develop your ILMS</li>
<li>Library &amp; IT professionals on staff &lsquo;speak your language&rsquo;</li>
</p>
<p>Our customers enjoy access to a range of services that have been refined with&nbsp;25 years experience and delivered by a team of qualified library and IT professionals.</p>
<p>Including localised support, flexible training options, remote installation and data conversion services, our services are tailored to deliver a swift and continued return on your investment and to ensure any implementation or upgrade project is stress-free and completed on time, and on budget.</p>
<p>Enjoy the confidence that comes from working with world-leading technology, backed by an accomplished team that develop, implement and support solutions every day.</p>
<p>&nbsp;</p>
<p>&nbsp;</p>

However, once submitted, the code changes and becomes:

<p>&nbsp;</p>
<p>&nbsp;</p>
<p>
<li>World-class technology,&nbsp;local support</li>
<li>Speak with experts that develop your ILMS</li>
<li>Library &amp; IT professionals on staff &lsquo;speak your language&rsquo;
<p>&nbsp;</p>
<p>Our customers enjoy access to a range of services that have been refined with&nbsp;25 years experience and delivered by a team of qualified library and IT professionals.</p>
<p>Including localised support, flexible training options, remote installation and data conversion services, our services are tailored to deliver a swift and continued return on your investment and to ensure any implementation or upgrade project is stress-free and completed on time, and on budget.</p>
<p>Enjoy the confidence that comes from working with world-leading technology, backed by an accomplished team that develop, implement and support solutions every day.</p>
<p>&nbsp;</p>
<p>&nbsp;</p>
<p>&nbsp;</p>
</li>
</p>

which looks quite different, of course.

Thanks for your help,
Geoff