Big Thank You! Glad that helped....the OUTPUT is a nice feature to "get at" what got inserted, and also what got updated.
When you're doing an UPDATE, you can OUTPUT from the DELETED system table to "get at" the state of updated rows before the update (old values), and also OUTPUT from the INSERTED system table to "get at" the state of the rows after the UPDATE.
Basically, Microsoft took the INSERTED and DELETED system tables - previously available only in a TRIGER, and made them available in an OUTPUT statement that you can slap onto an INSERT/UPDATE/DELETE. It's a cool feature.