Good Question. Assuming we are 10-2...
4 of the BCS Bowls (Rose, Sugar, Orange, Fiesta) have tie-ins but are able to "select" an at large (ND in this case) if they lose a conference champion to the last BCS game - the national championship. They also select their at large teams in the order above this year.
The tradition tie-ins for the bowls are:
Rose - Big 10 vs Pac 10
Sugar - SEC
Orange - ACC
Fiesta - Big 12
Now as far as bowls losing their conference champion to the BCS:
The Rose bowl
By losing Oregon to the title game, it will have to take TCU. BCS rules state for the games of January 2011 through 2014, the first year the Rose Bowl loses a team to the National Championship game, that non-AQ team will play in the Rose Bowl. So TCU is the pick. Here is link on the game selection for the Big 10 slot as well.
Wisconsin, TCU to face off in this year's Rose Bowl - Pasadena Star-News
The Sugar bowl
Due to Auburn going to the BCS title game, the Sugar bowl can replace within the SEC (top 10 team in Arkansas) and have the first pick of at larges (Ohio St). The Buckeyes have a better record (11-1) than us and a larger fan base than Stanford (all about $$$). They play in this game still as currently projected.
The other BCS bowls:
Orange bowl
With their ACC victory last night, Virginia Tech would be locked in this bowl. After the Sugar bowl, the Orange selects next and basically has two choices: Big East champ or Stanford. This is due to the Cardinal being #4 in the BCS thus allowing a guaranteed BCS bowl. Stanford still gets selected here since in our fantasy season we still lost to them. Article last week discussing this among other bowl senarios:
Mizzou hurt by Stanford's rise to No. 4 in BCS
Fiesta bowl
With their Big 12 victory last night, Oklahoma is locked in this bowl. The Fiesta would not have the opportunity to select us because the Big East is a BCS conference and champion (as crazy as it sounds UConn) has not been selected yet. They would be still going to this bowl as currently predicted.
So bottom line. If we were 10-2 the BCS bowls would not change. The loss to navy may not have mattered either. If we were 11-1, only loss to Stanford, the BCS bowls would probably still take Stanford and Ohio St (lone loss to Wisconsin) over us. Recruiting would be smoother and we would feel a lot better about the season (and be bitching about the BCS process), but our bowl would be the Champs Sport.