Thanks Tom and Steve (and belatedly, Bill). We are migrating to the new model, and hope that we will see the benefits and avoid any unseen pitfalls. I'll let you know how it shakes out and if we run in to anything that makes the model unfeasible.
Steve - our phones might be different, but when you are in the edit mode for a contact, click on the label for one of the phone numbers (e.g. the word "mobile"). I get a long list of options and at the bottom is "Add Custom Label" - from there I can create my own label for my contact.
For our app we are going to go with a generic "Phone 1", "Phone 2", etc. up to a "Phone 7" and store each in it's own column in the table. That way we don't have to worry about types and everyone can choose for themselves what "Phone 1" means without having to define static types. Ok, just kidding we're really not doing that, I couldn't resist. :-D:-P:-D