Gordon Bell's examples are not exactly correct; generally, only the keywords are highlighted, not the entire query. His second example would look like:
SELECT name, id, xtype, uid, info, status,
base_schema_ver, replinfo, parent_obj, crdate,
ftcatid, schema_ver, stats_schema_ver, type,
userstat, sysstat, indexdel, refdate, version,
deltrig, instrig, updtrig, seltrig, category, cache
FROM sysobjects
WHERE category = 0
AND xtype IN ('U', 'P', 'FN', 'IF', 'TF')
ORDER BY 1
I find this far easier to read, since the keywords stand out more. Even with syntax highlighting, I find the uncapitalized example much harder to read.
At my company, we go a little bit farther with our SQL formatting.
SELECT name, id, xtype, uid, info, status,
base_schema_ver, replinfo, parent_obj, crdate,
ftcatid, schema_ver, stats_schema_ver, type,
userstat, sysstat, indexdel, refdate, version,
deltrig, instrig, updtrig, seltrig, category, cache
FROM sysobjects
LEFT JOIN systhingies ON
sysobjects.col1=systhingies.col2
WHERE category = 0
AND xtype IN ('U', 'P', 'FN', 'IF', 'TF')
ORDER BY 1