How can I make
<xsl:for-each-group select="Word"
group-by="lower-case(substring(@word,1,1))"> consider 'ch' as a single
letter? (Right now, it is tacking all of the 'ch' words at the end of
the 'c' file because of the substring(@word, 1,1) filter.

What happens with
  <xsl:for-each-group
    select="Word"
    group-by="lower-case(substring(@word,1,1))"
    collation="http://saxon.sf.net/collation?lang=cs">
?

	Martin Honnen --- MVP Data Platform Development
	http://msmvps.com/blogs/martin_honnen/