First, it's hardly a fiasco.
The stock market is a fiasco. The credit crisis is a fiasco. The state of the economy, environment, war in the Middle East, etc. is a fiasco.
But getting a few points lower on a GMAT re-take is hardly a fiasco. An adcom will question your judgment for having retaken the exam with a high score, but it's hardly fatal.
Just report the higher score - schools really only care about the higher score.
Alex Chu
alex@mbaapply.com
www.mbaapply.com
http://mbaapply.blogspot.com