Michael Swanson earlier in the year wrote a plugin for Adobe Illustrator that exports Al vector art to XAML. I used this to create a XAML map of New Zealand for my Tech.Ed presentation.
Michael has been tinkering again (outside of worktime) and come up with SWF2XAML: A Tool to Convert Flash Files to XAML. This is a V1 utility and there is more to do to support animation and action script conversion but it is a great start.
I have been keeping an eye on a couple of Flash developers in the US (1,2) that are testing the WPF waters, hopefully Mike's new utilities + some of the samples that have been released recently (1,2,3,4) will help people transition to this brave new world of build native next generation application for Windows.