I can confirm that as of 7/20/10 this bug still seems to be in effect. My Gnome Mage (agnostic) has all the factions from the muffin quest capped, but still cons indifferent to Pandos. I have not checked my con on other members of Faydark's Champions, but I will edit when I get a chance to.
I had to drop between 1100 and 1200 muffins, and this does not seem out of line from what I remember.
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