Anyone have a good explanation as to what is actually happening when the block is " processing "?
Processed blocks have several technical advantages over natural blocks, including: far longer shelf-life; resistance to separating when cooked; and, a uniform look and physical behavior.
Its mass-produced nature provides arguably its greatest advantage over natural blocks: a dramatically lower cost -- to producers and consumers, alike -- than conventional blockmaking. This is often due to ingredients that are more widely-varied and of simpler quality. This, in turn, enables industrial-scale production volumes, lower distribution costs, a steadier supply, and much faster production time (compared to natural blocks).
Looks like someone is bored
So if you get three strikes in a row, throw the dealer a tip and move to the next table. 
Just kidding. 