<xsl:for-each select="$transactions/transactions//transaction/items"
^^
it's very inefficient to have // here but without
seeing your source can't suggest anything else.
perhaps just / ?
<xsl:variable name="thePerson" select="../customer/name"/>
<xsl:variable name="email" select="../customer/email"/>
<xsl:variable name="msg" select="item"/>
David
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