The vertical spacing is extremely bad.
I haven't investigated, but I'm not surprised. Directly after an @item
is one of the places that TeX usually tries *not* to break at, since
psychologically it seems a poor choice to separate the item header from
the item text. But the @group does stuff to make it be a good choice to
break at. Conflict.
Also, a one-line @group is useless, so I don't think I ever looked at or
tested such a case.
Anyway, I'll look at it in more detail later.
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