Called Applecare+
They did not realize that the third generation was discontinued (have not seen the keynote yet). They thought the iPad 2 would be discontinued and the iPad 3 would take its place. When I told them that Apple is keeping the iPad 2 and no longer selling the iPad 3, they said to call back next week.
It is still possible that those of us with Applecare+ will be able to get the "bump" up, due to the iPad 3 being retired and put into the "refurb" bin.
Now the real downside, going to be a longer wait for the Jailbreak on iOS 6 with the A6X processor.
VERBAGE IN APPLECARE+
http://images.apple.com/legal/applecare/docs/applecareplusforipadenglish.pdf
3.1 Hardware Service
"If during the Plan Term, you submit a valid claim by notifying Apple that (i) a defect in materials and
workmanship has arisen in the Covered iPad or, (ii) the capacity of the Covered iPad’s battery to hold an
electrical charge has depleted fifty (50%) percent or more from its original specifications, Apple will
either (a) repair the defect at no charge, using new or refurbished parts that are equivalent to new in
performance and reliability, or
(b) exchange the Covered iPad with a replacement product that is new or
equivalent to new in performance and reliability, and is at least functionally equivalent to the original
product. If Apple exchanges the Covered iPad, the original product becomes Apple’s property and the
replacement product is your property, with coverage for the remaining period of the Plan."
I am going to choose option (b).