> <xsl:text
disable-output-escaping="yes"><![CDATA["&#2022;"]]></xsl:text>

This is bad practice, and should be avoided.

The character &_#2022; (underscore for some mailers) is the same
character regardless of whether it is the actual character or the
character reference.  

Why do you need the string '&_#2022;' in your output?  An xml parser
will report the same character regardless.  Using d-o-e breaks the model
and isn't even supported by Xalan.

However, one technique to achieve this sort of output is to use an
encoding that doesn't support the character, thereby forcing the
serialiser to output a reference instead.

Try using <xsl:output encoding="ISO-8859-1"/> 

cheers
andrew

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