Date does not respect locale / custom date format

Despite specifiying a different date format, dates display with prompt "E.g., 12/19/2013" (rather than wanted "E.g., 19/12/2013").

To reproduce:
a) Do clean D7 install.
b) Install and enable Date, Date API, Date Popup
c) Create a content type, e.g. Event, with a Date field, and configure as follows:

Display dates using the Day-Month-Year date type (19/12/2013 - 16:51) format
Display both Start and End dates
Show all value(s) starting with earliest, ending with latest

d) Create content of this type. The dates will display with the prompt "E.g., 12/19/2013"

Tested with clean install of latest version of Drupal (7.24) and latest dev version of Date (7.x-2.6+34-dev) on 19th December 2013.