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How to show MultiSelect with special characters in CheckBox mode with itemtemplate in use?

This example demonstrates a problem where special characters are not shown correctly in the multi-select drop-down list: https://stackblitz.com/edit/raha7q

Issue appears when "CheckBox" mode and itemTemplate is used. The provided data is html encoded which is compatible with the itemTemplate, but the selected items appear incorrectly when the list is in closed state. For the "Box" mode, there is the valueTemplate, but the valueTemplate doesn't work in the CheckBox mode (is it intentional?).