I agree it isn't good news but you guys have to keep it in perspective. Like one of the other posters, I spent 2 years and 2 months in the pool; so, I feel your pain.
The email release was a mistake, no doubt about it.
The retired guys coming back as FOs to the front of the line is the right thing to do whether it seems like it from the pool or not. If they had to go to the end of the line, they'd be another 2 years into their retirement, and these are guys who have been good employees for 5 or 30 years.
Remember what the People department always says, you can "continue the process." Not that you are hired. It isn't a hiring pool but a pool of pre-qualified applicants.
Now, we all know in reality you are as good as hired unless you lose your license or get a DUI or something. Unlike some other companies (UPS with their interview performance based score pool comes to mind) could care less when you interviewed or how long you've been swimming.
I wouldn't like it either but there are many things on this earth that we don't have to like but do have to endure (my delayed upgrade would be one of those things, more attributable to the growth slowdown than age 65 but put them together and it gets exciting, much like your wait for a class)
I'm sorry that your eventual start date with SWA has been delayed, but putting returning 60+ guys behind new hires wouldn't be right, imo. I'm amazed any want to come back and they may quit soon after the reserve commute to OAK or LAS kicks in (with crappy crash pad situations in both places).