I still have this problem and its really doing my head in.
Like others on all the other threads about this...
http://wordpress.org/extend/ideas/topic.php?id=154&page&replies=3
(2 months ago, 3 replies)
http://wordpress.org/extend/ideas/topic.php?id=11&page&replies=11
(2 months ago, 11 replies)
http://wordpress.org/support/topic/76657?replies=2
(9 months ago, 2 replies)
http://wordpress.org/support/topic/74129?replies=32
(9 months ago, 32 replies)
http://wordpress.org/support/topic/73161/page/2?replies=46
(10 months ago, 47 posts)
http://wordpress.org/support/topic/52958?replies=19
(1 year ago, 27 posts)
...I can't believe that WP has messed this up so badly and for so long (over a year).
All we want is line breaks. Is that really too much to ask?
When I did what cutout suggests in one of the threads above I thought I'd solved the problem (for a moment), because when I clicked on html button and manually added and then update, the line break were still there, and when hit html again they were still there too, but as soon as I actually hit save and viewed the page, there were no line breaks!
I've tried changing some of the parameters in the tiny_mce.js file too, but to no avail.
Please, please, please, someone fix this bug!
I'm on WP 2.0.2 but from what I hear from friends 2.1 still has this problem.
HELP!
/me cries