Awesome! There are no configuration changes necessary. I think this all started as a misinterpretation of the HTML standard.
The code tag is rendered as a pre HTML tag. Every piece of literature I got my hands on was telling me that if you want to add HTML tags inside a pre tag you have to escape, at the very least, the greater-than, less-than and ampersand characters. This is what I was doing. I observed that you were right, these entities were output verbatim: there was no entities or tag processing inside the pre tag. I ran more tests and I saw that even raw HTML inside the pre tags is output verbatim. Therefore the literature I was reading was outdated and I needn't escape the contents of the pre tag. As a result my fix was commenting out the line which would escape the pre tag's contents.
Nicholas K. Dionysopoulos
Lead Developer and Director
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