Here is a thread at BlenderArtists where I post information on my game.
After over two months, the Kawaii characters are almost finished. The different clothing testures still need to be created, but I have base templates for most of them (just add color). Since blender 2.60 should have path finding with navmeshes (Hey, Listen! I'm calling them navimeshes from now on) I will not have to work as much on AI (hopefully). The development of this game should speed up after the Kawaii are finished, but I still need to create a couple hundred kopii and texture them. I do want to make the characters as individual as I can, even though there are only seven fur designs and seven fur colors. Hopefully the addition of the hair does not slow the game down; it uses bone constraints to copy the rotation of an object on a hinge. Another thing I want to accomplish is making the clothing, like bloomers, baggy-looking.