Agree with most of what has been said here. I looked into modding the 10w option into my 50/100, and found that it basically requires a PCB-swap -- not cheap or easy, may as well get another amp. But ultimately, I don't think I miss the 10w setting enough to sweat it. If you can get a good deal on the 50/100, it's a phenomenal amp; if you're paying within ~$200 of new price, I might hold out for a new one anyway just to have the Class A setting to play with. But practically-speaking, I have no problem getting sweet, full sound in quieter venues with the 50w setting... though fiddling with tube configurations (downsizing to 6V6s, for instance) and such will help greatly in that regard.
I have heard one or two rumors that the v.1 LSC sounds better in some way than the v.2, but that's completely unsubstantiated and probably just fodder for loud, argumentative discussion more than anything else.
The reverb thing -- going silent momentarily when switching channels -- irritates some, but it doesn't bother me at all. Better than a loud pop or splash IMHO.
I spent the weekend playing my old Deluxe Reverb, which was a great reminder of how sweet a well-worn blackface Fender sounds; it can have a certain something that is hard to replicate, but the LSC gets you really really close, with the added bonus of real control over your clipping threshold and better mids. Not to mention a bitchin' drive channel. If you like Fenders, you won't regret pulling the trigger on this.