The issue that everyone who watched has is with the defense, and cherrypicking Michigan's worst defensive games from last year doesn't help. How we repeatedly have up to three guys sitting several yards around a receiver who catches the ball nevertheless. How we turned the 3rd string QB into Troy Smith. I don't know if Michigan has ever scored 42 points and lost; I doubt it. Mindless support for the coaches, in particular the DC, is worthless, and it's ridiculous to say they don't deserve a fair chunk of the blame. I'd like some evidence that the defense is going to get better, and maybe even get an interception from time to time.
The offense is doing fine, relatively speaking, although you carefully neglected the injured Hart/Henne issue and how much better we did with both halves of offense working. Minor has emerged as a good running back after being mediocre last year. But, this weakens one of the excuses for the defense, in that a crappy offense means more plays against the defense means the defense looks worse.
EDIT: So I guess I screwed up on the 42 points thing; we lost to Northwestern 51 to 54 a while back. Still, you see my point I assume.