The new ddue:span handler in VS2005\Transforms\utilities_dduexml.xsl breaks code snippets generated by the ExampleComponent. To fix it, remove the ddue:span template in globalTemplates.xsl and replace the one in utilities_dduexml.xsl with this one:
 

<!-- Process the markup added by MTMarkup tool and the ExampleComponent -->
<xsl:template match="ddue:span">
  <xsl:choose>
    <xsl:when test="@class='tgtSentence' or @class='srcSentence'">
      <span>
        <xsl:copy-of select="@*" />
        <xsl:apply-templates />
      </span>
    </xsl:when>
    <xsl:when test="@class='keyword' or @class='literal' or @class='comment'">
      <xsl:copy-of select="."/>
    </xsl:when>
  </xsl:choose>
</xsl:template>