I racked the 2008 Merlot today. It had a great deal of sediment, and it continues to be a substantial drinkable wine. The wine is "simple" without a lot of tannin flavor, despite the treatment with tea leaves from last month.
It is free from off flavors, and should continue to develop. I am going to let it age until the end of the summer at this point. As you can see the color is dark and the clarity is limited.
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January 2011 Update
This wine was really good after a year, but at 2 years it developed an acidic favor that I found distracting. I don't know why this happened, because the bottles and corks looked OK.
There is not much of this batch left, but I intend to add 1g per 750 ml bottle of potassium carbonate to help it.