This isn't a huge surprise. What we've always been banking on is an entirely separate decision: whether to use the most recent two years (2010-11 and 2011-12) instead of 2009-10 and 2010-11.
If they decide to use the most recent data, we'll be eligible. If they stick with the older data, we're screwed.
Unfortunately, the media have seized the debate so that if we become eligible (regardless of whether it's by something as impartial and fair as using the most recent data), it'll be viewed as the NCAA submitting to a big-name program and lacking a backbone. Sadly, I think the NCAA recognizes this and wants to avoid the PR disaster, so I don't expect them to make us eligible by using the latest data either.