Yeah. It's because the 10 confirmations is actually a 'recommendation'. The wallet will actually let you send the coins to someone else after just 1 confirmation, but because of the way the blockchain works that can be a little risky...

[Explanation: the block that confirmed your received coins could end up being orphaned, in which case they'd be confirmed in a different block. You'd still get the coins, but the coins you sent used information from the orphaned block, and those would not be confirmed, so you'd have to send them again. The way around this is just to wait for extra confirmations just to be sure there's no issue. Of course this works piggyback as well - someone that sent you coins could be trying to exploit this behavior, and send you coins that they only just received in 1 confirmation, if that original block orphans then you wouldn't get the coin that was sent (this applies to any coin). Again - protection from this comes from waiting the recommended number of confirmations.]

What I'm going to do in the next release is make 'Unconfirmed' change to 'Confirming' after that first confirmation, and then disappear when there's nothing unconfirmed or confirming. I think that sounds like a natural behavior anyway.