I found your post on Google, and figured out a painfully simple solution on my own.
<!-- User Start -->
<?php if ( $user_ID ) :
// here's the kicker
global $user_identity;
// really. that's it. ?>
Welcome <b><?php echo $user_identity; ?></b>!
( <a href="/wp-login.php?action=logout">Log Out</a> | <a href="/wp-admin/profile.php">Profile</a><?php wp_register(); ?> )
<?php else : ?>
Welcome <b>Guest</b>!
( <a href="/wp-login.php">Log In</><?php wp_register(); ?> )
<?php endif; ?>
<!-- User End --></a>
Easy enough, right? Cheers.