H1-B extenstion

[futurework1975]

I m working with company A full time from past 3 years, H1B expiration date is Dec 4th 2011.

My company sent the H1b renewal documents to US CIS on Dec 2nd 2011(received date) it got returned for the reason the H1-B cap is over on Dec 8th.

So company sent with a cover letter that this application is not under cap, its for regular H1B extenstion on the same day i.e Dec 8th (USCIS received date Dec 9th 2011). USCIS sent the application receipt (I797C dated 14th December 2011).

Application filed under normal processing.

My queries:

Am I out of status from December 5th to December 14th ?

Does it cause any issue for the H1B extenstion ?

Please advise.