Sorting nodes per (two or more) vocabularies

Hi,

I wonder is this thing possible in Drupal. I am publishing an online magazine, so I have 2 vocabularies:

Issue - contains numbers as terms: 1, 2, 3, 4,...
Category - contains article categories as terms: Fashion, Books, Films,...

You get the idea.

Now I want a page that has things categorised by first vocabulary, then (sub)categorised by second vocabulary. So I would have something like:

> Issue 1
> Fashion
> Article 1 (teaser)
> Article 2
> Article 3
> Books
> Article 4
> Article 5
> Films
> Article 6
> ...

> Issue 2
> Fashion
> Article 1
> Article 2
> Article 3
...etc

I think you got the idea. Please note that articles are displayed as teasers.

I have tried views / taxonomy / node reference combinations, but problem with views is that it does displays those fields (sorting is not a problem), but how to display category titles before certain group of nodes, and not with every single node. So I am able to produce:
Issue 1 - Fashion - Article 1
Issue 1 - Fashion - Article 2
Issue 1 - Fashion - Article 3
Issue 1 - Books - Article 4
...
Issue 2 - Fashion - Article 1
...

Which is obviously not the proper display - how to avoid those categories repeating, so have it only for the first instance?

Sorry for lenghty post, hope someone had some experience with this.