Hi there...its not a bug..it was on purpose. Crunchbang does it the same way. (but is much more mature and elegant than my first attempt in my opinion
)
There are a couple of "automatic" menu tools that can build a menu based upon the .desktop or other methods. I tested several and did not like them as they added giant menu structures. full of things that were not needed so I was trying to keep it simple and added the gui menu editor instead.
When I get some time (probably Sunday west coast US time) I will add some links and KB info on those as options as I know some people prefer that.
tks,
biff