New fluid example .blend file question

With the release of the new CVS (11-6-06) under the documentation there was a sample fluid file with a blue guy and a tub of water…In examining the .blend file I found a Suzanne model on a different layer. What is she there for? Also, What makes the water deform at the beginning of the animation?
Thanks if you know the answers,

I just found out she is used in the new particle system under fluid sim tabs. What is that for? Please help…