diff -r b941905aa785 htdocs/sites/all/modules/syndication/syndication.module
--- a/htdocs/sites/all/modules/syndication/syndication.module	Thu Dec 17 17:05:14 2009 -0500
+++ b/htdocs/sites/all/modules/syndication/syndication.module	Thu Dec 17 17:46:37 2009 -0500
@@ -297,7 +297,10 @@
         $term = $tree[$index];
         $count = taxonomy_term_count_nodes($term->tid);
         if ($count || $show_unused_terms) {
-          $options[$term->tid] = t($term->name);
+          $spaces = '';
+          for($i = 0; $i < $tree[$index]->depth*2; $i++) { $spaces .= '&nbsp;'; }
+          $term_name = $tree[$index]->depth == 0 ? '<strong>'.t($term->name).'</strong>' : t($term->name); 
+          $options[$term->tid] = $spaces . $term_name;
           $index++;
         }
         else {