The world's on the watch list were ones which potentially met the original proposal but we didn't know enough about. Once we determined Sedna was round it would have been added to the list of planets as would Quoar, Varun, and possibly some of the larger asteroids.

If this doesn't get corrected in 2009, We'll see what happens in 2015 when we get close-ups of Ceres and Pluto/Charon for the first time. I think in Pluto/Charon's case we will see 2 things very different from a common comet and it will be obvious that classifying them the same as typical comet precursor KBO's will be ridiculous. It will also be hard to view Vesta as a simple aseroid if it was obviously active at one time as some data suggests. Ceres may just look like a large moon, but it will certainly look much more like Mercury than a typical asteroid.

In my opinion Pluto is a KBO, but it's also a planet. Same for the big asteroids. It's OK to use those terms based on location IMO, but planet should denote something significantly different from the pieces planets were built from. The roundness definition makes the most sense of any proposal I've seen.