Originally Posted by Copernicus
From one of the earlier interviews, the intended level of difficulty was around Shadow Lab/Shattered Halls.
It could be a matter of familiarity making an instance easier. I know my first few times through an instance it's always a guess as to which mobs should be CCed, Mind Controlled, and the first target.
Also, I need to get [Phoenix Hatchling] pet off of Kael.
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No, it's definitely strictly harder than any other normal mode instance. Mobs cast spells somewhere in the 2k damage neighborhood, which is much higher than any other normal mode instance. They also chain cast them faster than anywhere I've seen before (around the rate of the last boss in Mana Tombs), and they throw out an AE that increases spell damage taken by 75% and reduces healing by 75% for as long as you stand in it (as a side note, it's a pretty annoying ability since there's no clear boundry to the AE).
I saw the Phoenix Hatchling drop the one time I got to kill Kael'Thas. I did the dungeon about 3 times total, with 2 crashes/server resets in between. One run I saw two 20 slot bags drop, BoP/Unique iirc.