I know this thread is a little old, but...
I haven't found a need to use any extra grain. I get 75-80% efficiency with a fine crush. I'm not talking flour either, but crushed a little more aggressively than LHBS would do. I don't buy the extracting tannins arguement with higher mash pH either. I've monitored my pH on many batches of beer this year and my pH on a full volume mash is always around 5.2. If there is a problem with mash pH adjust it, just as you would with a "traditional" mash.
I don't get any more attenuation than normal either. Looking back at my notes I get the high end of what White Labs advertises for the particular strain of yeast I'm using.
As far as wasting beer. I know plenty of traditopnal mashers who will sparge until they reach a certain SG or they have thier volume. There is "good beer" left in the grains that they don't ever do anything with. I know one guy who will use it for starter if the SG is high enough. The others just dump it, and I know this is the method used by many. I hit my pre-boil gravity everytime without extraordianry efforts or any extra grain.
So far the biggest beer I have done with this method is only 1.070. I've read that it doesn't lend itself to big beers unless using more grain. The first attempt I make at a big beer I wll use extra grain. My prediction is that my mash efficiency will be higher than I expected.