Not this this is all that helpful, but I discovered that if you take on the .IPA files in ~/Music/iTunes/Mobile Applications and send it through File Juicer, a .ZIP file will result that has the mobile application embedded in it.
I dragged this application into the iPhone Simulator which of course caused the simulator to crash. Again, I don't know that this is helpful at all, but if you figured out a way to get around the "compiled for one processor problem" (heh, yeah right) you might be able to run apps in the simulator.