Much A Do About Nothing?

So the Democrats are all excited over the prospect of some members of GWB's administration being indicted over the Valerie Plame affair. I found this of interest from the Washingon Times:

A former CIA covert agent who supervised Mrs. Plame early in her career yesterday took issue with her identification as an "undercover agent," saying that she worked for more than five years at the agency's headquarters in Langley and that most of her neighbors and friends knew that she was a CIA employee.

"She made no bones about the fact that she was an agency employee and her husband was a diplomat," Fred Rustmann, a covert agent from 1966 to 1990, told The Washington Times. "Her neighbors knew this, her friends knew this, his friends knew this. A lot of blame could be put on to central cover staff and the agency because they weren't minding the store here. ... The agency never changed her cover status."

"She was home for such a long time, she went to work every day at Langley, she was in an analytical type job, she was married to a high-profile diplomat with two kids," Mr. Rustmann said. "Most people who knew Valerie and her husband, I think, would have thought that she was an overt CIA employee.

Now, I've never been a secret agent. But, I'm pretty sure that if you want to remain a secret agent, that you probably should not openly drive to CIA headquarters to work everyday. So, this whole mess, is supposedly over the, "outing" of an undercover CIA agent. Now, we found out that she's "undercover" in name only. Her friends and neighbors all know she's with the CIA, in fact, the only reason she's considered undercover is that the bureaucrats at the CIA never updated her paper work?