Even though I enjoyed Pegu Club so much in its first two years my loyalty's drifted down to B Flat and I hadn't been back in quite a while, it seems to have lost something. The menu's been reorganized and their food offerings cut in half to a single page. I passed on eating but just looking up this thread right now and at Oakapple's blog, the food presentation has become less refined too. And were the drinks always so expensive? All the cocktails on the menu are about $12, but I ordered a margarita at one point and it was $18. I didn't ask for any specific tequila and I just didn't expect that, I don't think any similar bar charges as much except for Bemelmans.
After ordering drinks our waitress had to come around again to confirm our order - it was wrong - then only one drink came. She knew our order but delivered two more tables their drinks before delivering my date hers which was just odd and water we requested never came even after two rounds of drinks did. Then a man I'm guessing was either security or a manager, dressed in a suit, watched closely over us as we paid and left but never asked us how everything was. (He looked like he was worried we'd just bail on the check. Who behaves that way? If you think a customer is exiting disappointed, find out why.) I'd never had such an odd, uncomfortable evening in an intimate place I used to enjoy so much. The place was little more than half full and there seemed no good explanation for it.
The good news however is the drinks were excellent, and I tried one of the best Gin Gin Mules I've had in quite a while.
Unfortunately table service is indeed a weakness, but it's a weakness most cocktail bars in pegu's circle suffer from. It's not 100% guaranteed but 99.9% of the time you'll have a much better experience at the bar. I understand sometimes sitting at the bar isn't really an option (it's too crowded, you have a party larger than 3, etc.) but if at all possible that's the way to go.
I was at Pegu a couple weekends ago and had a great experience. I found the drinks to be excellent as always and since the place was kinda empty I had a wonderful time talking to the bartender. These guys love what they do and when you get an opportunity to talk shop they really open up.
Regarding the 18 dollar Margarita. . . . .i'm not totally sure about that one, but I have ordered off menu drinks before and the prices have been all over the place (from $16-19), no explanation was given but I didn't ask either. I'm sure it has to do with what kind of booze they're using.