For what it's worth.  About the same time, I developed an issue on my dev 
machine, a (Mac), that seems to be related to the recent Java SE Update 4 
release.  There a thread on the issue 
here<http://code.google.com/appengine/forum/java-forum.html?place=msg%2Fgoogle-appengine-java%2FP6bBEiRB_xQ%2F1stMGk1klSgJ>
.

Any chance the newly released Java update could be impacting performance on 
app engine (may be a stretch, but thought I would throw that out).

~Michael

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