Well the story is on a billion sites now and Aonuma's designers were working on the character models (Link Sheik and Ganondorf). What they mean when they say "tweaked" is what I'm wondering. I'm surprised it hadn't come up here, especially since this is SWF...I doubt that's true, but that doesn't mean they won't be in the game.
Sakarai would most likely be the first to reveal that information.
edit/// Actually there is a thread for it but I missed it.
Anyway, he says that the models are in, so I think there will be sheik, ganondorf (and duh.. Link) in the game in some way. Ganondorf is practically a given as a character, but if Sheik were to change, she would probably be an AT. Now just think of how likely it is that Sheik is an AT...