If you've been anywhere near a computer these past few days and you are in any way associated with the SF/F online community, you're probably aware of the discussion (kerfluffle, flame war, debate - intelligent or otherwise, finger pointing, and name calling) that has been taking place over this story at Fantasy Magazine. Take the time to read through the comments thread there so you can fully appreciate the extent to which some people's buttons were pushed.
Various folks have been writing commentary on the story itself - is it racist or isn't it? (personally, I think it is, but that it was wholly unintentional - which doesn't excuse it, however), as well as the way people handled their own reactions to the story.
Writer Kelley Eskridge has written what is probably the most level-headed commentary I've seen so far on the whole situation. You really should go read it right now.