indent tabs mode appears to be broken in 22.1

[Michael Linck <mgl@absolute-performance.com>]

Intro: I loathe tabs
Problem:
My .emacs contains "(setq-default indent-tabs-mode nil)" globally and
again in cmode
"
(defun my-c-mode-common-hook ()
  ;; my customizations for all of c-mode and related modes
  (c-set-offset 'substatement-open 0)
  ;; other customizations can go here
  (setq c-basic-offset 2)
  (setq-default indent-tabs-mode nil)
; (c-toggle-auto-hungry-state 1)
  (c-toggle-hungry-state 1)
  )

"

How come when I select and then indent a buffer, it uses tabs?  Has it
always done that?  I seem to recall old versions of emacs not giving me
this problem.  Seems pretty awful.

Also, this version of emacs seems to crash a lot.  Any time you click
the mouse into the little action text field at the bottom of the emacs
window, there seems to be a fairly high likelyhood of it just folding up
instantly.  But if you're going to fix one first, I actually think the
tab thing is far more annoying :)

mike