I can't try this with TextEdit, because TextEdit does not generate its own version of 'fake' small caps. In other words, the
only way to get small caps in TextEdit is to use the typography panel. When I do that, the text appears as it should, using the correct glyphs in the font. There is no problem in TextEdit with losing the formatting on save/reload.
As I understand it, NWP ought to work by generating fake small caps when no small cap glyphs are available in the font (e.g. when you are using Times New Roman), but if dedicated glyphs
are available, it should use them instead. It does not appear to be doing so. Similarly (in reverse), if the dedicated glyphs are used directly (by applying 'small caps' from the typography panel), NWP ought to, but does not, recognise them and mark them as having the small caps attribute applied in the character palette.
On top of all that, NWP does not appear to be able to keep the formatting across saves.
Lawrence
ps. For the font geeks out there:
http://ilovetypography.com/2008/02/20/small-caps/