http://help.arcgis.com/en/arcgisdesktop/10.0/help/index.html#/Formatting_tags_available_in_ArcMap/00s800000017000000/

To display ampersand in formatted text
&
&
<
&lt;

FONT
	<FNT name="Arial" size="18">My text</FNT>
	<FNT name="Arial" scale="200">My text</FNT>
COLOR
	<CLR red="255" green="255" blue="255">My text</CLR>
	<CLR cyan="100" magenta ="100" yellow="100" black="100">My text</CLR>
BOLD/UNBOLD
	<BOL>My text</BOL> / <_BOL>My text</_BOL>
ITALICS/UNITALICS
	<ITA>My text</ITA> / <_ITA>My text</_ITA>
UNDERLINE/UNUNDERLINE
	<UND>My text</UND> / <_UND>My text</_UND>
CAPS
	<ACP>My text</ACP>
SMALL CAPS
	<SCP>My text</SCP>
SUPERSCRIPT/UNSUP
	<SUP>My text</SUP> / <_SUP>My text</_SUP>
SUBSCRIPT/UNSUB
	<SUB>My text</SUB> / <_SUB>My text</_SUB>
CHAR SPACING (0%=regular)
	<CHR spacing="25">My text</CHR>
CHAR WIDTH (100%=regular)
	<CHR width="150">My text</CHR>
WRD SPACING (100%=regular)
	<WRD spacing="150">My text</WRD>
LEADING (0 pts=regular)
	<LIN leading="12">My text</LIN>
	
Coordinate System:
<dyn type="dataFrame" name="Main Map" property="sr" srProperty="name"/>


<bol>Formatted Text</bol>
If you are using formatting tags &amp; and &lt;
will not appear correctly unless you use
the proper string.

& - &amp;
If you are using formatting tags and want
to display &, you must use the character
string &amp; to properly display the &

< - &lt;
If you are using formatting tags and want
to display <, you must use the character
string &lt; to properly display the <

<ita>Example (double-click to see tags)</ita>
<bol>dog &amp; cat</bol>
<bol>&lt; 9 but > 6</bol>



<fnt name="Franklin Gothic Demi Cond" size="18"><clr black="20"><acp>Formatted Text</acp></clr></fnt>
<fnt name="Palatino Linotype" size="12">If you are using formatting tags &amp; and &lt;
will not appear correctly unless you use
the proper string.

& - &amp;
If you are using formatting tags and want
to display &, you must use the character
string &amp; to properly display the &

< - &lt;
If you are using formatting tags and want
to display <, you must use the character
string &lt; to properly display the <

<fnt name="Franklin Gothic Demi Cond" size="18"><clr black="20">Example <ita>(double-click to see tags)</ita></acp></clr></fnt>
<fnt name="Palatino Linotype" size="12"><bol>dog &amp; cat</bol>
<bol>&lt; 9 but > 6</bol></fnt>