I've been lucky enough to stay at this resort twice: once when it first opened and once in July 2007. The quality hasn't dropped in the slightest. The lobby is amazing- pictures just don't do it justice. A bubbling stream starts in the lobby, flows outside into a river, over a waterfall, into the pool, then out into the lake (ok, so it doesn't really do that- but they do a great job at creating the fantasy). The rooms are beautiful and many have the great view of the pool area and lake. It's nice to sit on the balcony and relax with a drink above the kids running around the pool. Nothing beats this resort at night. It's just spectacular to look at. Every staff member we encountered was perfect- polite, friendly, and able to answer any questions. If you're going to Disney, please try this resort: it's Disney at their best.
Pros: Beautiful all around. Puts you in the middle of the Disney magic
Cons: Expensive, but worth it