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What happened to AT&T's Motorola Flipout?

Remember the Sony Ericsson K850 debacle? AT&T had commissioned a branded version of it, sent promotional materials to stores, and -- at the last possible second -- mysteriously changed its mind, leaving the 5 megapixel candybar dead on arrival. We can't imagine canceling a device that late in the game is cheap; contracts are probably broken, packaged retail devices need to be destroyed, and new clumps of gray hairs on the heads of product managers need to be dyed. Well, it's a little too early to declare that the Motorola Flipout has suffered the same fate, but this is a telling sign: after a rumored release this weekend, corporate-owned retail stores were apparently just instructed to destroy the literature they've received for the device. Sure, it's possible they'll send updated literature closer to a new launch date, but it's not looking good. More on this situation as we get it.

[Thanks, anonymous tipster]