Two additional comments I also received from the EP Desk:
1. The Certificates will be tracked by Serial Number. Apparently, the EXP packages were all packed by hand to ensure that Card, Luggage Tags and Cerificates are all included in the package.
2. Capacity controll -- according to the agent I spoke with, the EXP desk has special software installed so that they can expand the availability of award travel. He told me it should not be a problem to get a seat except in the most rare of cases. He pointed to the fact that for 1st class (domestic) upgrades, the system allows the EXP desk to book within 2 seats of the cabin capacity.
3. He also commented that the VIP 2 would no longer be processed in advance (i.e. no going to the CTO to turn the VIP 2 in ahead of time) -- exchange will take place at the airport on day of travel only.
--Jim