Well put. It's embarrassing, but it's the sort of thing that is bound to happen when you scale so fast so leanly. I'm sure they'll come out of this with a number of improvements and be much the stronger for it. And if they don't, then that tells a different story (but it's one I don't expect to hear).
Different type of growing pain, but this reminded me of when Foursquare forgot to renew their domain back in March (http://tcrn.ch/gk73zQ).