I'm confused about what you want to achieve. First you say you want to produce XML output, then you give an example of output which very clearly is not XML.
You can produce non-XML output from XSLT if you need to. If it's completely unlike XML (for example CSV) use the text output method. If it's something closely resembling XML but not actually genuine XML, use disable-output-escaping (or in XSLT 2.0, character maps), and make sure you have an XSLT processor that supports this optional feature.
Michael Kay
http://www.saxonica.com/
Author, XSLT Programmer's Reference and XPath 2.0 Programmer's Reference