Minecraft Color Codes Broken in 1.7.x

Color codes working in vanilla 1.6.4 don't work in 1.7.
The one with bunch of white text is 1.7 while the picture with colors is the same text working in 1.6.
It seems that it resets the color code when there is a space.
Is it just me or is this some kind of bug with the new command block GUI?