I just wanted to follow up on a bug that I posted. It was caused
by a series of changes to org-insert-headline. My original post was
buried in a particularly long exchange
(http://thread.gmane.org/gmane.emacs.orgmode/84564/focus=85798), so it
may have been missed. The problem is that if you call M-RET at the
beginning of a blank line, it will always give you a first level header.
This was caused by a fix to a previous more minor bug that I reported
(Calling M-RET at the beginning of a regular line would put a header
above this line rather than turning the line itself into a header).
Anyway the bug can be fixed by reverting commit 0ca4092. Reverting
the fourth hunk of commit b8c85a1 should fix the original bug that
commit 0ca4092 was trying to address.