Steve,
I agree with your interpretation (and Mr. Ramel's clarification). The part of the maneuver description that convinces me is this: "perform a barrel-roll with 45° spiral pitch, perform a 45° upline,"; after the barrel role you are then to perform another upline. This tells me that the airplane was no longer on the initial 45 upline and had returned to level flight. The maneuver description should be changed to: "perform a horizontal barrel-roll with a 45 degree spiral pitch" .
Just my 2 cents...