So far it's going great. I've run two sessions for one group and the first session for a new group is scheduled for tomorrow afternoon. Unbelievably, no one has died yet, other than in a faction glitch when all my NPCs turned on a player.
One thing I've noticed is that you have to be REALLY careful with 1st level PCs. I got around this by creating a mini-intro quest sending the PCs into the abandoned mine to fight a toned-down batch of beetles, zombies, stirges, and goblins. By the time they made it to Vorlag's Ruin they were all nearly 2nd level.
Once the group makes it to 2nd level you can take the gloves off, so to speak. I had toned down my encounters one notch (hard to normal, normal to easy), but now realize that this was not necessary (unfortunately for tomorrow's group

).
Also, I set xp to 150 (50% DMG), but advancement was too rapid. I noticed that the new versions of HCR sets it to 75 (25% DMG), and I'm going to stick with this (again, sadly for tomorrow's group).
I only use the bleeding/death, rest limits/bedrolls, HCR XP, and monster summoning durations; everything else is toggled off. Some players commented that they didn't mind stuff like the food rules but I personally find such micromanagement cumbersome and boring.
I'm using Fugue and it works, but may toggle it off in future games. It doesn't really add anything, IMO.
I suspect the real test lies ahead, though, when I start losing 1st level characters. My first group was really, really good, and when people went down bleeding they jumped right on it.
One other thing to note: I'm being VERY careful with monsters that have high critical hit multipliers, and have pretty much taken insta-kill creatures out of the games I've converted so far. The bodak will make an appearance, I think, but not as a minor side-encounter. I also seeded a number of Raise Dead scrolls throughout the game, and put a fixed number in Alhera's inventory.