I think the reports I read this morning underplayed how well Ethiopia is doing:

Somalia’s Islamists are in full retreat after Ethiopian airstrikes and a ground offensive that have killed up to 1,000 of the religious movement’s fighters, Ethiopian Prime Minister Meles Zenawi said on Tuesday.
“A joint Somali government and Ethiopian force has broken the back of the international terrorist forces… These forces are in full retreat,” Meles told reporters in Addis Ababa, adding that up to 1,000 Islamist fighters had been killed.
“A few are Somali but the majority are foreigners,” he said of the dead.
[…]
Somalia’s Islamists are in full retreat after Ethiopian airstrikes and a ground offensive that have killed up to 1,000 of the religious movement’s fighters, Ethiopian Prime Minister Meles Zenawi said on Tuesday.
“A joint Somali government and Ethiopian force has broken the back of the international terrorist forces… These forces are in full retreat,” Meles told reporters in Addis Ababa, adding that up to 1,000 Islamist fighters had been killed.
“A few are Somali but the majority are foreigners,” he said of the dead.