how to add application to sidebar in lion?

sounds like a stupid question.

used to could add applications to sidebar, now if i try drag and drop apps or app alias into sidebar, it won't expand betwwen icons and allow room. just wants to add (move) it into the default folders.

adding personal folders still works, just not apps.

what gives?

curious too, how can i add a space bar between groupings of like folders on sidebar?