Ok, I found that post that I believed Blogger ate. I have to apologize to it as it seems that I posted it in with my CD reviews. I guess that's the problem with running too many blogs for multiple reasons. So for your amusement:
I think you may remember that I mentioned my bathroom renovation project in March. I decided that it would be more work to rip out everything to convert it to a shower than to just fix the offending area. Moisture was definitely getting behind the wall as you can see from this picture. The studs there don't look too healthy (two running vertically), the board that was back there was in pieces and it was rather moldy. This is the cleaned up version. I hit the area with a 50/50 mixture of bleach and water. I was amazed at how well that worked.
Now, I have a room full of supplies to finish the work. The hardest parts will be sizing the green board to cover the most area and drilling the green board into the studs to get the most support. The most boring will be cleaning the mortar off the old tiles with a Dremel and carbide tip. In retrospect, I could have just tried to cut some of the grout out and re-grouted the area but I'd feel dishonest selling the house if the problem persisted. Should be done with this project in a few weeks as I don't have the time to sit there and mess with it quite yet.