recovery_target_time and last completed transaction log time

I'm posting on hackers because I think that there is a problem in one
of three places, and I'm not sure which:

(1) The documentation needs clarification.
(2) A LOG message needs clarification.
(3) There is a bug in recovery. (unlikely)

This issue was previously posted here with no response:

http://archives.postgresql.org/pgsql-admin/2008-10/msg00123.php

Regarding the documentation -- even if I'm interpreting it correctly,
it might be good to specifically state that it is the commit times of
database transactions which matter for recovery_target_time; that
transactions started but not committed by that time will be omitted,
regardless of the recovery_target_inclusive setting.

Regarding the LOG message, it is confusing to have a recovery.conf
file which contains this:

recovery_target_time = '2008-10-16 17:00:00.0'

and see this in the log:

[2008-10-16 23:04:26.006 CDT] 19951 LOG: last completed transaction
was at log time 2008-10-16 17:00:23.205347-05

-Kevin