<xsl:template match="body">
 <glossarylist>
   <xsl:apply-templates select="p/i/b[not(../../text())]" />
   <xsl:apply-templates select="p/i/b[../../text()]" />
   <xsl:apply-templates select="p/b[not(../text())]" /> <!-- there
was a mistake here -->
   <xsl:apply-templates select="p/b[../text()]" /> <!-- there was a
mistake here -->
 </glossarylist>
</xsl:template>

Regards,
Mukul