Hi Greg,
Yep, after a couple of slips in the last couple of weeks, where I bounced back up-to 101-102 kg, I'm now back down and was 99kg (218 pounds) this morning. So not going quickly, but it's a pretty steady loss of about 2 to 3kg a month.
If I can keep this steady pace, I should get to my target weight of 80 to 85kg around the end of the year.
On the subject of muscle mass: yes, adding muscle can definitely stop you losing *weight*. I've found that in the past. However an increased muscle mass *should* increase your resting metabolic rate, causing you to burn more calories during the day, so you want to be doing a bit of both.
I've been using My Fitness Coach as well as Wii Fit, and its fitness test gets you to measure various parts of your body (no sniggering at the back

), such as your biceps and thighs, which it uses to assess your body, rather than just relying on your weight.
Paul