Hello Pat,
Thank you for the kind words. Let me answer these questions as best as possible...
1. TeamSpec does not support custom formatting inside the Content Controls. Unfortunately, for all the default fields in TFS, they are 'Plain Text'. Any time we hit the server, any custom formatting inside those fields are lost (kindly retranslated by TFS, stripping the formatting). It is possible to add formatting to the entire Content Control though (so if you wanted to make titles bold).
2. This has been a constantly requested item. TeamSpec uses Content Controls to map the specific location in the document to the specific field (on a work item) in TFS. Unfortunately, in the first version image Content Control hosting was cut. This is on our list of features for upcoming versions.
If you have further questions, our forums are now (once again) sending us emails for when something is posted. So please let us know!
Cheers,
~Joe