We've been sniffing around some sort of frozen head trade that seems to have (un-known until now) the squid faces behind it in some way. We've run across several NPC baddies with "tattoos with metallic tracings in them" which we have been told by a trusted source are related to the mind flayers ability to maintain contact with their Thralls.
At the point about 2 minutes after we snuffed our second or third tattoo'd baddie, a Boss Monster named Thirdun (sp) telapathically contacted my Wizard, explained how much he'd enjoy stroking my lobes and making me into a thrall, blathered on about how we were "bothersome food" that wouldn't be troubling them much more, then simply said "Allow me to introduce my three sons." At which point 3 squid-faces appeared.
My character had never encountered them before, so I had to base my actions on a fairly decent Knowledge (Dungeoneering) roll. I tried to separate them with a wall of ice, the dimension door'd through it and started doing DC17 mind blasts on everyone. I made my save but others began to be stunned into next week fairly quickly. We got some damage on them but they had some sort of force armor on and the AC to hit was 27. My wizard actually hit twice on natural 20's with her crossbow before fleeing into a rope trick.
After the rope trick expire she cleaned up the mess, rented a cart and loaded her friends empty shells in with some help from the locals - she does have petite-flower arms and strength of only 8. The squid-faces left everyone's equipment intact and the local townsfolk were too frightened to disturb the battlefield.
So while we've retained our gear and traded the loot from the battlefield, tales of dread, and engendered a hefty amount of fear with the local leaders to get resurrected, we're still down a level. Now we're a ftr3/rog3; drd7;ftr7;clr7;wiz8.
While cleaning up Nyneve called it a "scorched earth" scene. In the previous encounter we left 20 mook guards, 2 sidekicks and a named NPC dead, charred, hacked, and frozen in the street. After the mind-flayers finished cleaning our clock and feasting on my friends, they proceeded to the less "fresh" grey matter found lying about the area, slurping all the corpses clean of their tasty bits.