Kernel Local Root
The most exciting thing to happen last week was probably all the attention
CVE-2008-0600 got. This flaw could allow a local user to gain root privileges, and things such as SELinux wouldn't stop it. The significant part isn't the local root in itself, but rather that there were working exploits available in the wild. There are always kernel privilege escalation flaws, but there are not always easy working exploits.
This was of course fixed quite promptly in both
Red Hat Enterprise Linux and
Fedora.