I would expect Republicans to be somewhat depressed (or at least very concerned) by this news, which does not bode well for Simon. The previous polls I've seen gave Simon a 7 point lead in Mid March and a 6 point lead in early April. This latest Field poll (about 3 weeks more up-to-date) gives Davis has a 14 point lead. The Field poll leans left and should probably be discounted by several percentage points, but then those previous polls were privately commissioned by Republicans and are probably biased in the other direction.
Simon had huge momentum coming out of the primary. It looks like he's squandered it in less than two months, and that's without Davis even dipping into his ample campaign funds to buy negative TV and radio ads. It's not over yet by a long shot: Bush will give Simon a boost, and Rudy will be back campaigning for him. But if Simon's campaign doesn't get a clue, and this trend continues, I foresee four more years of Davis as Governor here in California.
I'm under no illusions. Simon's got his work cut out for him against a well-funded, nasty incumbent. But Gray-out Davis' re-elect numbers stink to high heaven. Those aren't gonna change much, in my view. I really think Simon can win this thing, despite the media's best efforts.