Got the latest update...
Now, all the books I've converted from pdf, epub etc (Sigil > KindlePreview > Kindle3) have the larger line-height/line spacing but all the books I've bought have the nice tight line spacing
Yes I know I can choose "small" line spacing and that'll fix the books I've done but... having to switch between "small" and "medium" when I read other books will be freakin' annoying.
So for a test, I converted the same doc with Calibre and used "Minimum Line Spacing:0" and whaddya know - same as the purchased books...
How does Calibre fix the line-height when you convert with Calibre?!?!?!