reference icon after the selected text

Steps to reproduce:

1.Click on the edit button for a blank page
2.Type a text on the first line
3.Now type another text on the second line
4.Add a template
5.Select the second text in a way that it also selects the template
6.Click on More>Reference
7.Add a reference

[Note] This might not be the exact steps to reproduce , I am trying to figure out the correct steps.I will update the steps once I am sure.Still filing it to keep track.

Observed Result:
The reference note gets added in the middle of the template and the second line in a blank line.After that the editor gets unresponsive

Also sometimes the reference icon gets added at the beginning of the first line

See the screenshot attached.

Browser:Chrome 26
Environment:test 2
OS: MAC OS X 10.8.5

Version: unspecified
Severity: normal

Attached: