There is still hope for an eventual C# edit-and-continue feature in VS.NET in a future version. Although, I'm bumbed that it won't be available in Whidbey's release, it's still good news. Here's what was said in the latest MSDN chat regarding C# debugging.
Host: Scott (Microsoft)
Q: (Rob_Chartier_[MVP]) Edit and Continue for both C# and VB.NET. Can we expect it?
A: Unfortunately, Rob, you cannot expect Edit and Continue for C#. Things like refactoring and other IDE enhancements took precedence. Sorry.
Host: Julian (Microsoft)
Q: Edit and Continue for both C# and VB.NET. Can we expect it?
A: Just to clarify Scott's answer: we're not targeting Edit and Continue for C# in *Whidbey*. What happens after that is different.