Is the NoFollow tag not working anymore?  When the nofollow tag was originally introduced in 2005,  you could use it as an easy method to preent passing PageRank to a URL to which you were linking to, thus allowing you to conserve the page rank for the remaining links on the page that you wanted to give or pass page rank to.  This enabled you to control the flow of page rank through out your site, reserving the page rank for the pages on your site that you actually wanted to rank well, avoiding leaking page rank to terms and conditions pages, earnings disclaimers, and external sites as well.  Basically, you could control the flow and assignment of page rank on your pages.  Google’s Matt Cutts, at the SMX conference on June 3, let the audience know that Google has changed the way the rel=nofollow tag works in Google’s algorithm.   As of sometime last year, Google has begun treating links with the nofollow tag much the same as regular links in the PageRank distribution of a page.   The outcome of this, in practical terms, means that instead of previously being able to steer the passage of page rank, and passing it along only to links without the nofollow tag on the page, that the link juice just disappears, or evaporates.

This was previously a popular, establishes, and endorsed method by Google.  Matt Cutts was quotes as saying “linnks with the rel=nofollow attribute will now absorb PageRank the way other normal links do, but will NOT pass it on to the targeted URL.”
Is this truth or smoke and mirrors?  I don’t know, I haven’t run any direct experiments on it, but, it would be safe to say that it couldn’t hurt to heed them at their word.  There are other ways around this, and methods to accomplish the same things.    As another recent development that’s come about in the past few months, that Google actually parses inline javascript links, which were the basis of Leslie Rhode’s Dynamic Linking and incorporated well with Michael Cambell’s Mini-Net strategies, leaves one option at the time being.

Using links created using a <DIV> tag and then calling and then using javascript that references an external .js file that is protected via a robots.txt file.    You’ll want to create a javascript directory that you blog indexing from via robots.txt and also possibly incorporate CSS, etc.  Stay tuned for more info, and if you have more specific questions, or need code examples, contact me, and I’d be happy to provide you with some.