Upgrade to 1.5. Theme update.
I finally upgraded to WP 1.5 branch. There were several things I was hoping it would solve. First, there was annoying problem with 1.2 that under certain circumstances it would not show you a list of posts. No matter what you do in the admin, no post list. I was glad to see that after the upgrade this is resolved.
Second, more serious problem is that WP still keeps spiting out escaping backslashes inside of the PRE tags. I have no idea why this happens. I tried all the things people advice on WP support forums, without luck. Shit.
Theme update
Mon, May 30th
My appologies to everyone who downloaded new version, as it contained some of my own content, as well as affiliate links. I have updated the zip with clean files.
I had to change the theme I use. In the previous instance, I hacked the category output directly in 1.2 core files, so that post count for categories do not freaks out. Well, to avoid doing this with each upgrade, I updated the theme code so that it calls its own function. I took the opportunity to correct some colours too. As some nice people told me, my a:visited colour blended with regular text colour too much and it was hard to find the links, once you have them clicked. Now it is hopefully better.
I have updated the downloadable theme as well, so if you are using it, download and upgrade so you can have better display. I also changed one line in the Theme Switcher code, so the current theme no longer goes out of the submenu.
Please report if you encounter any issue with all this.