That's exactly what I was talking about. The most experienced developers and managers were all located in the US. There also were a few developers in India who played supporting role, and now they are tasked with supporting and advancing entire product line. One can imagine what can come out of...
Sure, Creo 3 release may be relatively good (assuming that remaining few developers in India can fix all serious bugs without leading developers/managers guiding them) but I highly doubt that subsequent releases will have any semblance of new features.
A friend of mine, who works at PTC, told me that a couple of months ago the core of Creo Simulate development group (the most experienced developers and managers) was suddenly laid off.
You may want to take this into account while planning your future Simulation work.