@linkbuildr - For the last while I've been trying to work out if my site has been pandalised or hit with a backlink over optimisation penalty. Where did you read that statement about looking at links differently?
@almighty monkey - When did your client's rankings get hit? Ours was 24/25th June.
@goodroi - Your point seems to be that Panda is affecting the number of links as low quality page are being deleted. But what is your opinion on the links remaining on pandalised domains? Do you think that they carry less weight? Is it logical to assume that if a domain is pandalised then links from it are less powerful?