I can answer that for you, at the beginning of the '11 season Hughes suffered a dip in velocity. After a few horrible starts he was placed on the DL for arm fatigue. It was later revealed that Hughes had been suffering from shoulder inflammation. He underwent an arm strength rehabilitation program for several weeks. At the beginning of July he made his first start in nearly 3 months, pitching five innings, allowing two earned runs, striking out and walking two batters. . Hughes pitched pretty well in the second half, with a 3.72 ERA, 1.24 WHIP, and 4–2 record.
As far as where he stands now, he seems to be on track to have an successful '12 season.
During his last appearance on the mound a few days ago, Hughes looked sharp for most of his 36-pitch day, allowing only a leadoff single to Ben Revere in the first and a one-out walk to Ryan Doumit in the second.
His arm speed stayed up for all three innings and his velocity was consistent, the ball came out of his hand really well.
As far as Joba goes, yes he's still a Yankee. He's recovering from Tommy John surgery he had done last summer to repair a torn ligament in his right elbow.