Compiling italics as underline

I have Scrivener latest RC set up to compile to Word as is.

All of my italics in the binder are compiling as underlines in Word.

Bug or am I missing something?


Found answer in Transformations - set to convert italics to underline by default - but why?

The status of this option depends on the compile format that you use. It is enabled in some formats, like MMD by default. If you have used such a format as a base for your compile format modifications, it has been checked by default.