Do you mean scrunched vertically or horizontally? If horitzontally, it seems fine to me. What would you have had them do? Decrease the font size? Make the line only 2 measures? Make the page bigger? Perhaps a bit too vertically scrunched. But I don't think that makes it harder to read/sing. (edit: oh, you did mean vertically.)
It's just wrong, in a variety of ways. They were trying to save space but avoid reducing the font size. It just doesn't work well. A smaller font size with properly spaced lines and a better font would have been a more readable choice. They put their B team on designing this.
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