"Batwoman's Kryptonite = Homophobia"
There is a smokin' interview with Devin Grayson on the site After Ellen that pretty much confirms all my theories & suspicions regarding the "burying" of Batwoman:
“I won't pretend not to be resentful of how badly DC treated me in that exchange, but the majority of my concern and sympathy goes out to the character, who was basically thrown away by a company which had a lot of support to make her successful and unique. My experiences up to that point had been much more positive, although admittedly less ambitious, and it was really sad and discouraging to see the ball so badly dropped.”
According to the interview, after eight months in development she found out that her proposed "Batwoman" series was kaput not through the courtesy of a phone call -- but through a newspaper article.
Please add the "Batwoman" debacle as an addendum to the previous "Countdown to Change" post. Then hustle over to Greg Rucka's LiveJournal for his own laments concerning Renee Montoya (both stories found via Journalista)