My brother has unearthed an amazing application!
PandoraJam is a genius little download that allows you to download your Pandora channel while it plays, saving the tracks as mp3s in your iTunes! The free demo is nearly identical to the $15 program; you just have to keep tabs on it more often, as it automatically shuts off every few tracks. (You can start it back up with a quick mouse-click).
The icon is also very cute!
Enjoy, Pandora lovers! http://www.bitcartel.com/pandorajam/download.html