In 2002, Second Nature Recordings released a split EP with members of Small Brown Bike and the Casket Lottery. On it, there is a cover of the Queen with David Bowie classic, "Under Pressure." Great cover even though it's not that much different from the original. This makes me think about some of my other favorite covers (like "Walk On By" by the Stranglers).
The Good Show recently had a show completely dedicated to cover songs. Nice batch of tunes always played on the good ol' college radio station on Sunday nights.
The Good Life have two releases out this year on Saddle Creek: the Lovers Need Lawyers EP and Album of the Year album. Album of the Year is not a complete replication of Faith No More's Album of the Year. Two totally different albums.