The state of the reddish, raised area didn't change until yesterday (Tuesday) when we woke up to find a cluster of clear, fluid(?)-filled sacs hanging from the red area. The raised pimply looking part was gone and replaced by these.
This is the best photo I could get of "her" last night. You can see the sacs in the mid-belly region.

This morning most of the sacs had burst, leaving behind one. By this evening, a new batch started to grow. This is a photo from about 20 minutes ago (it was the best I could get from the wrong side).

Parameters are good - salinity 1.007, ammonia 0, nitrite 0, nitrate 10, pH 8.2.
She is in 31 US Gallons with one other figure-eight and a black molly. The tank is planted and has been running (starting with a fishless cycle, then the addition of the molly), since May 14, 2006 with almost zero fluctuation in parameters (except for a gradual increase in salinity). She is eating and very inquisitive.
Has anyone run into this before or know what it could be? Thank you for your help in advance.