Sorry if this is a bit long but here are the RR rules from the ATP site and I have highlight what I believe to be the relevant sections.
The Competition - Round Robin
a) Each player will play every other player in his group.
b) All matches will be best of three (3) tie-break sets.
c) The 8 group winners advance to the finals competition.
d) The final standing of each group shall be determined by the first of the following
methods that apply:
i) Greatest number of wins;
ii) Greatest number of matches completed (a retirement does not count as a completed
match for the retiring player; it does however, count as a completed
match for the opponent of the retiring player).
iii) Head-to-head results if only two (2) players are tied, or if three (3) players are
tied, then:
aa) If three (3) players each have one (1) win, a player having played less than
two (2) matches is automatically eliminated and the player advancing to
the knockout competition is the winner of the match-up of the two (2)
players tied with 1-1 records; or
bb) Highest percentage of sets won; or
cc) Highest percentage of games won.
dd) If any of the above produces one (1) superior player, then this is the winner
of the group; or, if it produces one (1) inferior player, and the two remaining
players are tied, the tie between those two (2) players shall be broken
by head-to-head record.
iv) If ties still exist after the above procedures, then the player with the highest
ranking shall be deemed the winner of the group.
v) In applying the tie-breaking procedures, a conduct default or retirement shall
count as a straight set win or loss. However, games won or lost in matches with
the defaulting or retiring player shall not be counted in calculating percentage
of games won. A player who retires during the Round Robin because of illness or
injury may continue in the competition if cleared to play by the Tournament Doctor.
vi) Any player who is defaulted pursuant to the ATP Code during the Round Robin
competition shall be defaulted from all other matches in the event and the ATP
default provisions shall apply, except for the following circumstances:
aa) The loss of physical condition; or
bb) Dress and equipment.
vii) Any player who withdraws from any Round Robin match after the first round
shall not be eligible for the finals competition.
viii) Any player who withdraws, or is withdrawn, after only one (1) Round Robin
match may be replaced by an alternate player and that player may be eligible for
the finals competition.
ix) Alternates for the Round Robin competition shall be the Lucky-Losers from the
qualifying event. These players may be substituted, as necessary, at any time
during the Round Robin competition.
At point aa) highlighted in Blue it suggests that Blake should be out or I’m I missing something.
Del Porto having retired did not complete two matches and would have been eliminated.
The match up between the two remaining players (Blake and Korolev) should settle it, and therefore since Korolev beat Blake he should progress without percentages being introduced to cloud the issue.
At point dd) highlighted in red it says if any of the above procedures produces a winner the he will win the group.
I have yet to see in writing the rules regarding projecting of scores in unfinished matches.
This appears to be a fudge to protect the number one seed

And as for the James Blake quotes of not understanding the rules here it is in the dumbed down version,
If the group of three is reduced to a group of two it reverts to a straight knock out between the two remaining players.