Our Expression Studio team released Expression Blend 2 August Preview and Media Encoder Preview update earlier today.  These updates do enable Expression Blend 2 and Expression Media Encoder to work with the latest Silverlight 1.0 RC bits.

 

You can get Blend 2 preview from either the Expression site or the Microsoft download center.

 

You can get the Media Encoder preview from here.

 

It is nice to see the Expression team deliver updates of their tools along with Silverlight 1.0 RC to enable good tooling support that enables you to build Silverlight based applications and experiences. 

 

Namaste!