I can't see the pictures, can you show them again in form of links at least?
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News: check out new facial hair designs
I know this post is a little old, but I saw it linked in the 60+ page long "Character model rework 25% complete" thread and had to comment since I didn't see anyone else saying this. OP, you do know what those really were, right? Those weren't player remodels. They weren't even new textures.
They were Blizzard testing, on the Wrath beta, to see how easy it would be to patch new textures onto the client. You know what textures they tested? Alpha textures. So yes, of course they looked terrible. They were never intended to go Live, they weren't even new. Instead of wasting artist time to make new textures to see if they could patch them in to the client, they just grabbed the old Alpha textures to see if it worked. And it did.
That's all it was. So, your post about how you're "glad they are taking their time" because you don't want to end up with that is moot. There was never any danger of us looking like that to begin with.
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