Obviously not working as intended. I see no reason for them to move the vanity items/mounts around from instance to instance. It would be nice, as always, to get at least some sort of response about a PvE matter, but clearly this just isn't anything they are concerned with.
I also find it hard to believe that Devs had no idea that NiM drops were only 220's and not 224's with all the posting that has been going on here. I truly hope he was being sarcastic in that Twitter post.