It may be embarassing, and it may be a flaw, but if you sent it to Bugtraq or asked ZDI to pay you for it, you'd get laughed at. I'm not making that up, it's obviously true, so why are you arguing with me about it?

If you contract a team from Matasano to assess your website, and all we come back with is "you store passwords insecurely", we're the ones who will be embarassed. Sorry. Hate on 37s all you want, but in no parallel universe is "weak password storage" a gameover.