Follow up here:
I do have applecare, called them, and they replaced my battery that would no longer charge after an upgrade to SL on my early 2008 MBP, at no charge. This battery was in the chassis at time of SL upgrade. I had a second battery which I have been using in the interim which worked fine when I put it in post SL upgrade . After the 10.6.1 upgrade (with second battery in chassis), I got the "service battery" message on my second battery as well, but it still held a good charge while running on battery and would charge fully as well. The message seemed cosmetic (applecare's words) and has since gone away. I didn't notice when, but it's been in the last few days. I'm currently calibrating my new battery. No "service battery" message on this one either, at the moment. The battery I sent back didn't have any noticeable defects or swelling. Anything changes, and I'll post back.