Well, as much as I love being right, I love it even more when a well established assumption of mine is challenged and my mind is changed. In this case I'm happy to admit I stand corrected on this one: having Luke in there as an intercept is better than having a bodyguard and the extra attack via the bothan as many of you have suggested.
First I started playtesting both varations quite a bit and honestly, like all of you, became fond of having little Luke in there. Now I've always "liked" this Luke (I won him on my first league roll of gencon, the only 20 I rolled all weekend) but never thought he was good enough to hold his own depite having some sentimental value. But I discovered that while the Bodyguard will buy you maybe a turn of protection, little Luke really can hold his own for at least two turns if not more, while Han sits back and blasts away untouched. His ability to block and deflect is fantastic (as well as Djem-so) but it's that decieving 90 hp that really makes a difference.
So with my mind changed I brought the squad to my LGS and did very well (I actually dropped Dodonna and used R2 AND Wicket as I noticed everyone was playing low activations). It not only impressed me but everyone else as well. I tell you, it's a deceptively dangerous squad which is also what makes it work. None of the figures look particularily dangerous so people kind of throw themselves right at it. But it's one of those "the sum is greater than all it's parts" type squads and combined can really do a number on someone before they realize what it's capable of.
So yeah, there were times I wish I had the extra shot, or a bodyguard, but with the exception of the one time Luke folded like a lawn chair in a hurricane on the second turn (seriously, it was a horror show), I was happy he was in there. So once again, thank you guys for proving me wrong and I will happily admit this is truly a very decent squad which I'm sure my entire LGS will be playing a variation of come the next 100 point tourny.