The pidgin team has just released pidgin 2.1.1.
People using Ubuntu Feisty Fawn can install it from Debuntu .deb repository

Pidgin 2.1.1 was released on the 08/20/2007 and here is the slogan:

2.1.1 has landed! We've got a new smiley set and we've further cleaned up the conversation window. Let us know what you think!

Here is the changelog for this release:

version 2.1.1 (08/20/2007):
Yahoo:
* Added an account action to open your inbox in the yahoo prpl.
* Added support for Unicode status messages in Yahoo.
* Server-stored aliases for Yahoo. (John Moody)
* Fixed support for Yahoo! doodling.
* Limited support for MSN Messenger contacts

Bonjour:
* Bonjour plugin uses native Avahi instead of Howl
* Bonjour plugin supports Buddy Icons

XMPP:
* Only report conversation close when 'send typing notifications'
preference is turned on (Bob Rossi)

Pidgin:
* Show current outgoing conversation formatting on the font label on
the toolbar
* Slim new redesign of conversation tabs to maximize number of
conversations that can fit in a window
* Tab bar is not visible when only one conversation is open. You can
drag and drop conversations from the infopane.
* Moved "Reset Formatting" toolbar button to Font menu.
* Double click on the infopane to alias buddies and set topics
on chats
* New smiley style
version 2.1.1 (08/20/2007):
Yahoo:
* Added an account action to open your inbox in the yahoo prpl.
* Added support for Unicode status messages in Yahoo.
* Server-stored aliases for Yahoo. (John Moody)
* Fixed support for Yahoo! doodling.
* Limited support for MSN Messenger contacts

Bonjour:
* Bonjour plugin uses native Avahi instead of Howl
* Bonjour plugin supports Buddy Icons

XMPP:
* Only report conversation close when 'send typing notifications'
preference is turned on (Bob Rossi)

Pidgin:
* Show current outgoing conversation formatting on the font label on
the toolbar
* Slim new redesign of conversation tabs to maximize number of
conversations that can fit in a window
* Tab bar is not visible when only one conversation is open. You can
drag and drop conversations from the infopane.
* Moved "Reset Formatting" toolbar button to Font menu.
* Double click on the infopane to alias buddies and set topics
on chats
* New smiley style

Finch:
* Sound support (Eric Polino)
Finch:
* Sound support (Eric Polino)

People running Ubuntu Feisty 7.04 can install this release from Debuntu .deb repository. Follow the instruction on that page and then:

$ sudo apt-get update
$ sudo apt-get install pidgin

Enjoy!