The eleven step process includes making a work directory (so you don't copy over your current install and all of its lovely plugins and templates) and copying over a few key files to update to the latest release:
- Copy blog.original/wp-content/plugins to blog/wp-content/plugins
- Copy blog.original/wp-content/themes to blog/wp-content/themes
- Copy blog.original/wp-content/uploads to blog/wp-content/uploads
- Copy blog.original/wp-config.php to blog/wp-config.php
- Copy blog.original/.htaccess to blog/.htacces
For more information on upgrading your WordPress installation, check out this entry on their wiki.