>   I'd like to use <xsl:output method="xml">, but I haven't found a
>   solution to my problem, which is how to output <dd class="active"> if
>   parameter this exists and <dd> if it doesn't exist.
>
> <xsl:if test="@this">
> <xsl:attribute name="class">active</xsl:attribute>
> </xsl:if>

Great, thanks.

> Also why do you have
>
> <xsl:for-each select="/opml/body/outline">
>                 <xsl:call-template name="outline">
> ...
> <xsl:template name="outline">
>
> Rather than the simpler and more natural
>
> <xsl:apply-templates select="/opml/body/outline"/>
> ...
> <xsl:template match="outline">

True. This is my new syntax:
<xsl:template match="/opml/body/outline">
...

> If you are outputting html don't you want to use the html output method
> rather than xml? (You certainly don't want to use the text output
> method)

If I use html I get a <!DOCTYPE ...> in the output although I have
standalone="no".
The output is inserted in a XHTML file, so I guess XML is fine?

Thanks for your help.
Jacob