Yes, Service Pack 1 for Visual Studio 2008 and .NET Fx 3.5 has been released!  Here are a few important links for your convenience:

·         Microsoft .NET Framework 3.5 Service Pack 1

·         Visual Studio 2008 Service Pack 1 (SP1) Readme

·         Visual Studio 2008 Service Pack Preparation Tool

·         Microsoft Visual Studio 2008 Service Pack 1 (exe)

Please try them out, and let us know your feedback!