I discovered today that this problem still exists with the Mk1 even on 8.00.
I wanted to see if the N2% shown on the Surface Interval screen was updated in real time out of the water, for example, if you travel to altitude.
I went to the Surface Interval screen and then put my Mk1 inside my old camera housing, sealed the housing and pumped the air out. Sure enough, the N2 went from 0% to 46%. All good, exactly what I wanted to know.
My problem was that once I let air back into the housing to put it back to the current air pressure, the Mk1 went into dive mode (at around 2.5m). Removing the air again, ended the dive but I was stuck in a cycle.
Then what I did was reduce the pressure just enough (it thought the depth was around 0.7m) and the dive ended. I then gradually (a small amount every couple of minutes) let air back in, increasing the pressure, until I was finally able to open the housing without going back into dive mode.
FYI: The following helped (after a call to support)
Background: I went skydiving and got into the same lock condition. Followed the directions here: https://support.garmin.com/en-US/?faq=8qqwH5x3Eb3jDsBUPDqUe7 to no avail.
Only note is: keep the Menu (middle) button depressed until the "Reset surface pressure" question comes on screen -- took what seemed like much longer than 30s. Then wait for dive to timeout after 30 seconds or so at 0' depth.
This just happened in my MK2i skydiving and now stuck at 13ft even after initiating the reset depth. Any fix I just emailed GARMIN today. I even let the watch battery run out thinking that might solve it but it didn't.