Well yes.. It's going to revert to the default text color for whatever event you are using.
echo -ac action ^K99 Test, is going to be in whatever color your action is.
I'm not saying it's a termination color code. However it can work to terminate another foreground color. Just as ^K05 would terminate another color and then begin a new one.
My 'theory' is that the actual code (in C++) recognizes ^K99 as the start of a new color, and will end any other foreground color that came before it. However, it does not have a specific color assigned to it, so my guess is that he's not inputting the start of a new color.
You can't actually prove me wrong on this unless you've seen the source code of course.
Because what you're saying is really no different than what I'm saying. I think it'd be easier to not draw a foreground color at all, than to 'layer' the line's default foreground color on top of the text when it's not needed.
But what do I know. :P