preserveWhiteSpace=true; not working

I am using MSXML3 running in replace mode on NT.
I'm doing a server side parse of XML and XSLT in VB as such(viewing in
IE5.5):

<%
xmlDir	= "/ContentMng/" 
	sXml 	= xmlDir & "test.xml"

	if Instr(Request("HTTP_USER_AGENT"),"MSIE")>0 then
		sXsl 	= xmlDir & "test.xsl"
	end if

	Set oXmlDoc = Server.CreateObject("Msxml2.FreeThreadedDOMDocument")
	
	Set oXslDoc = Server.CreateObject("Msxml2.FreeThreadedDOMDocument")
	
	oXmlDoc.async = false
	oXmlDoc.preserveWhiteSpace=true
	oXslDoc.async = false
	oXslDoc.preserveWhiteSpace=true
	oXmlDoc.load(Server.MapPath(sXml))
	oXslDoc.load(Server.MapPath(sXsl))
	
	' Error Checking
 If oXmlDoc.parseError.errorCode <> 0 Then
	response.write ("Error: " + doc.parserError.reason)
 End If
  Response.Write  oXmlDoc.transformNode(oXslDoc)
%>


My xml contains white space and line breaks like this:

<?xml version="1.0"?>
<Careers_List xml:space="preserve" >
	<joblisting>
		<id>1</id>
		<jobTitle>Java Developer</jobTitle>
		<Description>We are seeking 
		ng an experienced Java               Developer to take
charge of Interface  
		Development
		</Description>
	</joblisting>
</Careers_List>

The problem is my Description element text still outputs like this:
"We are seeking an experienced Java Developer to take charge of Interface
Development"

No white space or line breal preservation. Why is this happening?

Peter S. Tsantes
Developer
Tradescape.com
ptsantes@xxxxxxxxxxxxxx

 XSL-List info and archive:  http://www.mulberrytech.com/xsl/xsl-list