diff -r -u texinfo-4.11.orig/makeinfo/insertion.c texinfo-4.11/makeinfo/insertion.c
--- texinfo-4.11.orig/makeinfo/insertion.c	2007-07-01 23:20:32.000000000 +0200
+++ texinfo-4.11/makeinfo/insertion.c	2008-03-30 00:22:41.000000000 +0100
@@ -557,8 +557,8 @@
           last_char_was_newline = no_indent = 0;
           indented_fill = filling_enabled = 1;
           inhibit_paragraph_indentation = 1;
+          current_indent += default_indentation_increment;
         }
-      current_indent += default_indentation_increment;
       if (xml)
         xml_insert_quotation (insertion_stack->item_function, START);
       else if (strlen(insertion_stack->item_function))
@@ -1217,7 +1217,7 @@
          without a change in indentation. */
       if (type != format && type != smallformat && type != quotation)
         current_indent -= example_indentation_increment;
-      else if (type == quotation)
+      else if (type == quotation && !html)
         current_indent -= default_indentation_increment;
 
       if (html)
Nur in texinfo-4.11/makeinfo: insertion.c~.
Nur in texinfo-4.11/makeinfo: quotation-sets-indentation-for-html-plus-blockquote1.html.
Nur in texinfo-4.11/makeinfo: quotation-sets-indentation-for-html-plus-blockquote.html.
Nur in texinfo-4.11/makeinfo: quotation-sets-indentation-for-html-plus-blockquote.info.
Nur in texinfo-4.11/makeinfo: quotation-sets-indentation-for-html-plus-blockquote.texi.