The good news is that I have proof the alignment was hosed from the factory and now its BMW's issue.

I've decided I'm going to take the car to the dealer next week. I will get BMW to address the toe (reduce it to 0.02) when they recheck the alignment. I have an appointment scheduled for Weds. I didn't want to give the guy at Drivers Source a hard time since he didn't even charge me. He said he wouldn't charge me until the issue was fixed and encouraged me to go to the dealer to see what they say first.

The guy at the first shop has really disappointed me. Not only did they do a crappy job on the alignment (hosed from factory or not) but additionally I see bubbles in my window tint tonight. If they aren't gone by Sunday, I'm just going to dispute the whole charge on my AMEX and retint it with my usual guy, who does stellar work. At this point, I'm too angry to even call them.

I suppose worst case if BMW really can't fix the issue it may be something with the tires. At which point I'll be back at Discount Tire and switching them to the Michelin Tour HP's. Seems unlikely though, since Conti makes good tires.