I noticed the same text behavior but was not off-put by it. It actually makes sense to me. It is text until I convert to editable object, much like a square is an object that cannot be parts-isolated until converted. Once converted the text is as smushable (sic) as before. Just guessing here, but didn't the text lose its font aspect when it was distorted in the previous version? Possibly the earlier version converted the text as soon as the distortion attempt was initiated, whereas it is a two-step process now. My Xara use goes back to before the Corel acquisition and I remember that text could be distorted but I cannot remember if it converted it in the same move. My version 12 is uninstalled.