I'm sure a lot of what I'm about to say has already been said but I'm going to throw in my two cents anyway.
I chuckled a little when I saw Fred Armisen running on the tread mill just because he makes me laugh in general. There's something about that guy that is just weird and makes me giggle. Even his picture on his wiki page makes me laugh. I'm rather ambivalent about this skit, though. On the one hand, SNL has never been about seriously offending any group. They've always made fun of stereotypes. Remember Schmitt's gay beer with Adam Sandler and Chris Farley? On the other hand, this certainly doesn't help to clear up misinformation or misunderstanding on the part of the masses. However, I'm honestly more bothered by other portrayals of us in the media than stuff like this; for example, an episode of CSI New York, in which a transwoman was murdered. When the crime scene investigators found the body of the transwoman in the men's bathroom they didn't immediately realize she's trans. They thought maybe she was in there for some hanky panky with a guy and things turned south. But then they "noticed" that her feet were big, her hands were big, and then the Det. Flack character used his pen to lift up her skirt to check, grimaced, and said, "Our Jane Doe is really a John Doe." This is profoundly more offensive to me, especially the whole checking under her skirt crap. The worst part is, this show would have been a perfect opportunity to at least somewhat educate the masses. They could have had the Doctor Hawkes character or Sid the medical examiner cite statistics on how likely we are to be victims of violent crimes, or they could have said something about the discrimination we experience, or anything. But they didn't. There's also a movie that recently came out called It's Kind of a Funny Story, in which a 16 year old guy, who is stressed out by his teenage pressures, checks himself into a mental hospital. There's an African American transwoman character in the beginning of the film in the hospital, but only up until the main character's mother and 5 year old sister visit, at which point the mother asks if he had made any friends and the 5 year old sister says, "Have you made friends with the ->-bleeped-<-"? She was standing behind the main character. The mother then said, "Oh, the ->-bleeped-<-..." in a shocked and disconcerted manner. After this, the trans character completely disappears. There is no explanation as to what happened to her or whether or not she was released from the hospital. Every other character has a reoccurring role, except her. It's like they included her only to make the trans joke and then got rid of her. To me, these types of portrayals are far more damaging than SNL skits. I'd be willing to bet a large portion of our society isn't even aware that we take or pursue hormone therapy. At least this somewhat broaches the subject.