Good for her, she looks great too!
Basically this.
I said something really insensitive in the company of a trans friend recently and she got really upset, but it was borne out of a lack of tact rather than a lack of compassion.
Honestly, I don't think it's anything to get too worked up about as long as the person in question is respectful to the the one who changed their sex .
For me, personally, I see a man. I would refer to that person as a man in my own mind, BUT with that being said, If I were hanging out with Kaitlin I would refer to her is a she out of respect of what she wants out of life..
I don't think there's any ill will here (As long as there's respect). It's more a glass half empty, half full.
I think that the issue isn't really tact, it's the view underneath the tact. If you see a trans woman as less or other than a woman, you don't really have any grounds to claim that you respect trans people or a degree of respect.
If a racist has the tact not to make racist comments to a black person, but is still racist, it makes no difference (to me).
It's upsetting for me as a trans person, but all I can do is live my life. I can't spend my life trying to change people's minds. I don't wish you any "ill will", but it's very difficult for me to be around or talk to people who hold that view, even if they are polite and tactful.