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As proposed in: http://lists.w3.org/Archives/Public/www-style/2011Apr/0381.html http://lists.w3.org/Archives/Public/www-style/2011Apr/0387.html Gecko implements it this way, and I think it fits better with the rest of CSS. (Not sure how there wasn't a bug on this already.)
The WG resolved to allow keyframes to cascade on 2/20/13. ACTION on glazou to propose the related OM updates.