Ah that's really crappy news, Sneaks. Hopefully, at least one of the people whose decision it is will be too principled to hire her just because of those reasons. Or maybe she's clearly not as credible a candidate as you, in which case they might not want to be seen to be so unfair. You never know, the people making the decision might not even really like her. They might genuinely want the person who will be best at the job for the sake of the department, so don't abandon all hope just yet.
Congratulations on a good performance! Even if you don't get it, it's good experience and hopefully a confidence boost.
My fingers are crossed for you :-)(up)