Weasel!!! just they guy i was hoping would respond. It sure is assuring to have a BMW tech on-board...

... So these issues seem common on high mileage X5's, at least from what i've researched so far, i'm at 60k and haven't read any experiences yet on this happening to X's with such mileage (is 60k considered high mileage?)
Thanks for the feedback UCrewX5. 03MstyleX5, good thing you were close to home when this happened. It really bites to see the X in such a helpless state, being towed away. I usually hit the slopes in your area at Bear Creek and sometimes stay at the Four Points across the street from Allentown Airport. Perhaps we'll get a chance to meet at a future meet.
I was really hoping to hold out for year or two before pulling the trigger for the next performance X5. If it turns out to be more serious than expected, i may consider upgrading to a low-mileage 4.8is in the meantime. Either way, will provide an update for those interested.