Well, it strikes me that the processes of addition and updating are much more similar in Excel to those of other ISAM servers than is the process of deletion. Most processes of deletion mark a record as deleted, and the records aren't actually removed until the database is compacted. Excel can't work that way; it has to do some pretty specialized stuff to delete a row, having do to with rearranging all of the cells in the matrix. As it were, it has to go through a compaction process (one which is quite different from more standard compaction processes, too) each time a row is deleted.
On the other hand, updating a cell is pretty much the same as updating any data location. Appending a row is pretty much analogous to appending a record in a file; in both cases you're simply tacking on another row of data.
So, I suspect it's the requirement of rearranging all of the data on the fly when you delete a row that causes the disconnect between ISAM's delete requirements and Excel's.
Bob