I found another tiny little bug in the theme. Once again, I fixed my copy, but thought I'd pass the info along.
If you use %loginout% in the footer it generates a logout link that will fail under WP2.7. This is because WP2.7 changed the way that link works.
The change I made is below. Obviously, the way I fixed it would make it fail under previous versions of WP, but I only cared about getting it to work for my version.
bfa_footer.php line 16
$link = '<a href="' . get_settings('siteurl') . '/wp-login.php?action=logout">' . __('Logout','atahualpa') . '</a>';
$link = '<a href="' . wp_logout_url() . '">' . __('Logout','atahualpa') . '</a>';
Thanks again for all your work in creating this amazing theme!