i will be very sad if sonic doesn't make the cut. he deserves it more than any other 3rd party character, and he's done well for Nintendo as far as sales go since he crossed the border.
and as much as i'd prefer Simon Belmont as the other third party, it would probably be megaman as he's far more popular, though i think Simon would be far more unique.
i'm said about the cuts, but as for people to cut, i could accept the following (no offense to those who love these characters):
Pichu
Doctor Mario
Jigglypuff
Roy
Shiek
Mr. Game and Watch
Young Link
in that order.
i want to keep the more unique people, like G&W, but i could stand to lose him since i never asked for him in the first place.
jiggly doesn't seem like she'd fit in the new theme that sakurai is going for, but i could be wrong. i think pikachu and mewtwo are more than enough to represent pokemon, and opens a slot for some needed newcomers.
shiek may not fit with any kind of Twilight Princess Zelda, and we have Zamus as an in-game transforming (?) whip user now, it'd be weird to have two of those.
roy was an advertisement for his then-upcoming game. i can lose him. i think this game is getting too many sword users as is.
Y. link would hurt me the most, as he's the "true" link, as it were, versus Adult Link.
i'm not really focusing on movesets and melee playability as these things will be adjusted in brawl.
but that's just my take. i'm gonna have to trust Sakurai on this. overall i actually do like clones, for what i saw as a quick and easy extra character that plays differently, but i dunno how sakurai feels about them.
everyone else should stay and ganondorf and falco should get their own movesets.