XT value-of variables

I'm using XT version 19990708 and I'm not sure if this is a bug or
intended behavior...  Here's a simple example:

  <?xml version="1.0" encoding="UTF-8"?>
  <xsl:stylesheet xmlns:xsl="http://www.w3.org/XSL/Transform/1.0">
    <xsl:template match="/">
      <xsl:call-template name="template">
        <xsl:param name="param">
          <xsl:element name="tag">
            <xsl:text>contents</xsl:text>
          </xsl:element>
        </xsl:param>
      </xsl:call-template>
    </xsl:template>
    <xsl:template name="template">
      <xsl:param-variable name="param"/>
      <xsl:value-of select="$param"/>
    </xsl:template>
  </xsl:stylesheet>

XT produces the following output:

  contents

where I expect to see:

  <tag>contents</tag>

Is this a bug?  What is value-of supposed to return when you select a
variable of this type?  How can I pass computed elements into templates
like the sample above?  

-Ray


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