When the user highlights a PL/SQL block in the editor and hits the 'Tab' key, there are individual spaces in the beginning of the selected lines even though 'Use tabs' option is being used. Toad 8.6 did not have this problem.
Here are the steps to reproduce this problem:
1. Go to View | Toad Options | Editor | Behavior | Tabs and select 'Use tabs'
2. Now open a new Editor window and copy this block into Editor:
DECLARE
v1 varchar2(10);
v2 number;
BEGIN
v1 := 'test';
v2 := 10;
DBMS_OUTPUT.PUT_LINE('This is a ' || v1 || ' for number ' || v2 || '.');
END;
3. Highlight the entire block with 'CTRL A' and hit the tab key.
4. Now when you go to the beginning of each line, there are spaces, not tab characters, present.
WORKAROUND:
None
STATUS:
This issue is fixed in Toad for Oracle 9.1. The latest version can be downloaded here.