They're adjusting very well. Still a little nervous, but are playing much more. They eat like crazy, and know how to use the litter box - yay! They don't let the dogs get too close, but they don't run away either, which is great. The dogs are doing surprisingly well - just a lot of curious sniffing. No barking or growling or nipping. The dogs do seem a little more clingy than normal - just some jealously over all the attention the new pets are getting.
Right away Mike named one of them Lily Potter (after Harry's mum). For the other one we think we might go with another flower - Daisy.