Option #1 is a good idea. Jan Mette came up with another idea. [www.archserver.org ArchServer Project] is new on the market. I found it also couple of days ago. It seems it is what we need. Stable core and release every 12 month - 18 month.
They may shrink their kernel, but I see no problem in that. Since we have to build our kernel for our livecd anyway we have our own. Create our own init-script (copyright etc.) based on the one ArchServer uses and place our stuff on top of their server-core repo and we are good to go.
charka-core (all pkgs for livecd - drivers, kernel) server-core (the repo of ArchLinux) extra (all addional pkgs we need) extra-kde (our kde pkgs) addon (our additional pkgs if we have any)
We can join their team and work together since we have almost the same goal.