Steps to reproduce:
1.Open a page with VE
2.Go to Insert>Reference
3.Type something inside the reference dialog box
Observed Result:
As soon as you type the first word the first letter diappears.
Test Environment: http://en.wikipedia.beta.wmflabs.org/
Browser: Chrome Version 26.0.1410.65
OS: MAC OS X 10. 8. 5
Version: unspecified
Severity: normal