Oh, and Rick, all SE's rely on some form of flawed algo's, G of course more flawed that rest--Wige said it well about them placing all their importance of how others link to your site (off-page elements). All but the big-time websites will usually be popping all over the place SERP's (of course more so in G). Gone are the days of stability when long-standing business site owners were #1 in all SE's because of CONTENT (like myself with a decade old site), not like now with precedence on what OTHERS do so that your fate is out of your control (mostly of course with G). It all depends on your niche too. If there's big businesses in your niche, you'll usually end up losing to them in the SERP's, and the ironic thing is they don't even care about SE's.
Unfortunately, I doubt there is anyone that can tell you about your predicament except Y themselves. Just be thankful you got screwed by them and not by G since G has such a huge market share. Try creating another page or two like the one that got dumped. Block them from G and MSN, only allowing Y to access it. Try something different with the pages, like fewer word repetitions on one, more repetitions on another (i.e. "Beaded Jewelry"), that sort of thing. Make
Beaded Jewelry the first words in your title tag, try putting it also in your keywords tag (I don't see it there), even if the SE's don't use that tag anymore. Mix it up, maybe you'll get lucky and find a version Y likes again......and if you do, let us know.
You also don't have a 301 redirect for the www and non-www versions of your pages. Pick the one that has the most IBL's or highest (gag)
PR, then redirect the other version to that version. It wouldn't hurt.