OK - I tried your steps and all kinds of chaos broke out... lol
None of the blocks showed up, nor the top "banner" on our site.
Got errors as well.
Error: Smarty error: [in modules/xcms/menu_customer_info.tpl line 68]: syntax error: mismatched tag {/if}. expected {/section} (opened line 10). (Smarty_Compiler.class.php, line 233
in /home/vacsew/public_html/include/lib/smarty/Smarty.class.php on line 1093
Parse error: syntax error, unexpected T_ENDIF in /home/vacsew/public_html/var/templates_c/%%F2^F28^F28A59C7%%menu_customer_info.tpl.php on line 141