It's actually been there since 4.0, I believe. I know they added the groupCaseSensitive attribute in 4.5, so the group option was in place by that point. Essentially it's a way to get your output to follow your SQL groupings, when that sort of thing is necessary. So like doing a blotter style calendar, if you ORDER or GROUP the query by eventDate, you can then cfoutput group="eventDate" to get your day-by-day headings, for example, and then cfoutput group="eventStartTime" or whatever to do a little block for each event on the blotter ... etc. They can also be nested deeper: Company, Department, Individual Employee, for example.
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