#Group helper does not work with #each helper when using element naming

[sarus]

Here's a JSBin illustrating the problem:

http://emberjs.jsbin.com/wawurize/1/edit

Basically this works:

  {{#group}}
    <ul>
    {{#each model}}
      <li>{{this}}</li>
    {{/each}}
    </ul>
  {{/group}}

But this doesn't

  {{#group}}
    <ul>
    {{#each item in model}}
      <li>{{item}}</li>
    {{/each}}
    </ul>
  {{/group}}

Any thoughts on what the problem could be?