I'm really sorry about the lateness of an update, but my Mac is very sick and I am finding it difficult to get anything done. I also have a new job which is sapping a lot of my time. But I have a new G4 iBook on the way, and the alarm clock thing is at beta. I may release it now anyway, even though the alarm is a little unreliable.

Uh, where's the 12hr bug fix update???

Can you also add the day of the week (Sunday, Monday, etc.) to the top of the display, just as you have the month and date on the bottom?

I am in the final stages of an update that includes the 12 hour bug fixed, two new colours for the digital numbers etc, two new colours for the bezel, seconds displayed, an alarm clock option (that can play an iTunes track or an alert sound) and a flashy date display. I am still testing it. Especially the alarm clock, it does seem to act up every now and again.
It should be ready in time for the next gallery update.

I have also encountered the "number missing bug". It happens when 10 am comes around. Right now it says "0:10 a.m."
I would love to be able to increase the font size of the date, and as you mentioned, have more colors to chose.
All in all, it is a great widget and looks good on the desktop.