Is this plagiarism? - Copy paste with reference I asked a similar question the other day about plagiarism, but I have a slightly different case. Would you consider this plagiarism?

A source paper (Y) has text which refers to A and B and C.  Another author, X, copies a few sentences almost verbatim (a sentence of 20 or so words) and refers to it as (A, B, and Y). 

So in Y, we have: Sentence 1 (A and B). Sentence 2 (C). 

This is reproduced by X as: Sentence 1 (A, B, and Y). Sentence 2 (C and Y). 

Is this plagiarism?
As already stated in the comments, this is indeed plagiarism. The additional information provided in the comments makes it more interesting, however.

Plagiarism is a form of scientific misconduct. Being accused of this is quite serious, as it covers such diverse acts as fabricating data and as here, having bad referencing practices. There is a substantial difference between these, and while both practices should be dealt with, perhaps discretion is advisable in a case like this? After all, a reference was made, which makes it a less serious case of plagiarism. My experience with this is limited, but have you considered that reporting it may also reflect badly on you, as it is a comparatively minor malpractice? Perhaps you should run it by any form of local ethics committee you might have as an anonymous case?