1.2.1 Changelog:

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General:

• Bug fixes
• Removed portal/water flow/crafting bench item duplication bug
• Mob Spawners show the right mob in SMP now
• Redstone dust can be placed on glowstone again
• Mobs' legs now are hittable in SMP at all times - Jebplanation
• Wheat doesn't deplete anymore when used for breeding in Creative mode
• Fixed lava lakes generating over bedrock
• You can now put out fire without destroying an extra block in Creative
• Ambience works in SMP now

More patch notes after the page break.

• Updated launcher
  • Put in new logo
  • Should properly select 64 bit Java installations on Mac OS X
• Removed Herobrine
• XP is now unlimited in Creative mode
• Black hitbox lines on blocks turn off with the HUD when pressing F1 now
• Dispensers will place mobs instead of releasing the spawner egg
• Glass can't be picked up using Silk Touch enchanted gear anymore
• New values in F3 overlay
  • lc = highest section height
  • b = biome
  • rl = raw brightness
  • sl = sky brightness
  • bl = block brightness
• Dead Bush can be collected with shears now
• Vines now are climbable if they have a block behind them
• Lava has a new sound
• SMP light calculations are done by the client now
• Added slight delay between death and the death screen
• Sky color now changes with biome
• Torches and redstone torches can now be placed on top of glass
• Added support for folder-based texture packs
• Updated language files
  • Added at least one language
  • Removed a few profanities
  • Fixed typos
• New world file format called Anvil
  • Doubled world height
  • Current maps will be converted and get 128 air blocks on top
  • Biomes are saved with the map now

World Generation:

• Abandoned Mineshafts now bridge over ravines
• Sandstone wells in deserts
• Added jungle biome

Mobs:

• All mobs:
  • Improved path finding
  • Better movement in water
• Added Ocelot, a new jungle-specific mob
  • Screenshot
  • Sprint most of the time
  • Don't take fall damage
  • Turn into cats when tamed with fish
  • Cats can be told to stay by sitting
• Added Iron Golem to defend the villagers
  • Screenshot
  • Craftable similar to the way Snow golems are crafted - Screenshot
  • Easily attacks and kills all hostile overworld mobs except creepers and slimes by throwing them in the air
  • Walks slowly, swaying from side to side
  • Sounds mechanical
  • Picks up roses - Screenshot and offers them to villagers
  • Has 50 hearts of health
  • Drops iron ingots and roses on death
  • Respawns if 15 villagers are nearby
  • Can't swim
  • Doesn't take fall damage
  • "It's the moss covered guardian from Laputa: Castle in the sky"
• Villagers:
  • They open and close doors
  • They will detect village houses and live in them
  • They rush inside their houses at night or rain and leave afterwards
  • They will socialize with each other
  • They run away from mobs
  • They will produce baby villagers after falling in love with each other
  • They will repopulate villages based on how many houses there are available
  • Children play tag
• Wolves:
  • They can now be bred when tamed
• Zombies:
  • They will break down wooden doors on hard difficulty and knock on other difficulties.
  • They are hostile towards villagers
  • When killed by the player, they rarely drop iron ingots, iron swords, iron shovels and iron helmets
  • They seldomly mass-attack villages
• Skeletons:
  • They try to avoid sunlight
  • When killed by the player, they rarely drop bows with a chance to be enchanted
• Creepers:
  • They are afraid of ocelots and cats now
  • When killed by the player, they rarely drop iron helmets
  • They will stare and wait for you to move after trying to reach you and running away a few times
• Zombie Pigmen:
  • When killed by the player, they rarely drop golden swords with a chance to be enchanted, golden helmets and gold ingots

Blocks & Items:

• Added Redstone Lamp, a redstone-controlled light source
  • Screenshot
  • Acts as a full block
  • Crafted by surrounding a block of glowstone with 4 redstone dust
• Added new Stone Brick in Creative mode
• Added upside-down stairs
• Added upside-down half slabs
  • Changed crafting recipe to produce 6 slabs instead of 3
• Added an experience item to creative mode
  • Screenshot
  • Can be shot using dispensers
• Added Fire Ball
  • Sets stuff on fire, just like Flint & Steel
  • Can be shot using dispensers
  • Craftable with coal, blaze powder and gunpowder
• Changed textures for dispensers and saplings
• Added tree and leaf type for jungles
• Added Jungle tree saplings
  • Placing them in a 2x2 grid and bonemeal'ing one of them produces a huge jungle tree
• Doors have been changed to properly detect if they are open or closed - Jebplanation
  • Double doors in old maps need to be updated
  • Now double doors only require the most basic redstone knowledge
• Ladders
  • Changed crafting recipe to produce 3 ladders instead of 2
  • Regained their collision box