Soundflower 1.4.1 has been released. It can be downloaded over at http://soundflower.googlecode.com.

We ironed most of the bugs out of it. There is one more hiccup still there for users of MaxMSP, where you have to manually set your IO Vector Size after choosing the soundflower input. This problem has been fixed, however, in the upcoming Max 5.0.6 update.