"Significant Risk"

On CNN right now, Barbara Starr just reported that Joint Chief Chairman Peter Pace has forwarded an appraisal to the White House of US military readiness which assesses that the ability of the miltary to respond to a crisis has been significantly lowered. The headlining phrase is "significant risk."

This matters because this finding of "significant risk" requires a response from Sec Def Gates to resolve the situation. It's binding in a sense, and because of this, it is a huge move by Peter Pace.

How does this affect further deployments in "the surge?" Is the finding equipment or personnel or both? (It could also deter any other foreign interventionism.)

Later: There's the video. I really think this may be a big deal. It's a willfull decision made by Pace to make this determination now.