I have to say, the yarn looks and feels beautiful! I ordered enough of the Alpaca/silk yarn in Barn Red and Fawn to knit my husband a 2-color pattern out of Meg Swanson's "Knitting" book (Russian Prime, if you have that book), and I just can't wait to dive in! The yarn is so soft and has just a bit of lustre, not too much for a guy. I also ordered the pattern book, because the discount was so good.
I think the yarn is going to be a dream to knit up; I'll certainly report back in if I encounter any problems.
So, to anyone else who was considering ordering from Knit Picks, I'd say go for it!
Knit Picks