I am a firm believer in the part of Murphy's Law that says "when you get so frustrated with a problem that you swallow your pride and ask for help, you will figure out the problem yourself 5 minutes later. I know this to be true from personal experience. More than once.
In order to insert a newline character to a string in a BrightScript XML file, you do not use "\n".
Use this: 


 is the character entity that represents a line break in serialized XML. "XML has no escape sequences"