Despite its engine glitch, Lockheed thinks the F-35B will fly before the end on June, maybe a month later than originally hoped for, but still within its "mid-2008" window for the first flight of the STOVL JSF. It will take Pratt & Whitney about a month to deliver a replacement flight-test F135 engine, and it should arrive in March, allowing Lockheed to get on with hover pit testing.
The hiccup happened when the original engine for aircraft BF-1 failed a proof test designed to reveal if it was susceptible to high-cycle fatigue of the third-stage turbine blades (it was!). P&W is proof testing the replacement engine, and probably has its fingers very tightly crossed. So far three F135s have been proof-tested: two CTOLs passed and one STOVL failed.
Meanwhile, thanks to Steve Trimble on The DEW Line for finding this video of the STOVL F135's three-bearing swivelling nozzle being tested in aircraft BF-1. I am still fascinated to watch this nozzle working...