TinyMCE is adding new line ("\n") regardless of apply_source_formatting
<p>TinyMCE is adding <code>\n</code> as well as paragraph tags to my text. Regardless of the <code>apply_source_formatting</code> settings value. </p>

<p>ie.</p>

<p>Source Text:</p>

<pre><code>&lt;blockquote&gt;&lt;div class="cite"&gt;Person said:&lt;/div&gt;&lt;div class="message"&gt;&lt;p&gt;ffgfgf&lt;/p&gt;&lt;/div&gt;&lt;/blockquote&gt;
</code></pre>

<p>What TinyMCE Re-formats it to:</p>

<pre><code>&lt;blockquote&gt;\n&lt;div class=\"cite\"&gt;Person said:&lt;/div&gt;\n&lt;div class=\"message\"&gt;\n&lt;p&gt;ffgfgf&lt;/p&gt;\n&lt;/div&gt;\n&lt;/blockquote&gt;\n&lt;p id=\"mce_1\"&gt;&amp;nbsp;&lt;/p&gt;
</code></pre>

<p>How can I get TimyMCE to stop adding new line characters like this? It really messes with the formatting on the other end when the text is submitted.</p>