So today began early, a little disappointed with the progress but still in good spirits over the whole thing. Started around 8am PST with hosing off as much of the grease/grime as I could. That's about where it stopped being easy. There were a couple hang ups with wiring harness and how the latch system works, but we got those solved pretty quickly.
The biggest lessons I learned is that penetrating spray would probably be really helpful as a lot of the nuts and bolts are ridiculously torqued down. I'm using a breaking bar on just about everything (I'm exaggerating here) so that slowed me down a little. I'm lucky enough to have someone helping me with this that's a big plus.
I've got the transmission disconnected up top, the axles are off the transmission. I also dropped the exhaust so it's out of the way. Tomorrow will be disconnecting the speedometer cable, dropping the drive shaft. Tried to drop it tonight but only managed to get the covering plates removed. The bolts on the drive shaft are really torqued down (makes sense) and I couldn't fit a socket in so I decided to call it a night and tackle it in the morning.
One real question: So when I was taking things out from the top side of the car, I came across another item under the master cylinder. I'm not sure what it is but it's plumbed into the master cyl with high pressure lines, but I have no idea what it's connected to I haven't traced the lines yet. I don't think it's a slave cylinder because it's a 90MY legacy. Is it another part of the braking system? I didn't thing to snag a picture of it before putting it away in a little baggie. Below you can see where it was.

Highlight of the day was getting my clutch (I went with an Exedy OEM replacement)
Things I've learned: Penetrating spray would be really helpful (buying some tomorrow), having a large collection of tools is extremely helpful. Dropping my first transmission is certainly outside my comfort zone, but after many hours under my old Subaru and learning it inside and out, I'm more in love with Subarus today than I was yesterday. Here's an album of the day's pictures I remembered to take

http://imgur.com/a/fvwWv