F#, 188 chars
let r(x::s)=
let f=printf
let p x=function|1->f"%A "x|2->f"%A %A "x (x+1)|n->f"%A-%A "x (x+n-1)
let rec l x n=function|y::s when y=x+n->l x (n+1)s|y::s->p x n;l y 1 s|[]->p x n
l x 1 s
More readable:
let range (x::xs) =
let f = printf
let print x = function
| 1 -> f "%A " x
| 2 -> f "%A %A " x (x+1)
| n -> f "%A-%A " x (x+n-1)
let rec loop x n = function
| y::ys when y=x+n ->
loop x (n+1) ys
| y::ys ->
print x n
loop y 1 ys
| [] ->
print x n
loop x 1 xs