That may be the final outcome. Galco's holster instructions certainly encourage trying to make it work - plastic bag sheaths, twist the gun in holster - be patient, keep working on it. I think we're about at the end of it. It shouldn't be harder than breaking in a new baseball mitt - and this has been far more challenging. If it isn't fixed tomorrow, I'll call them.
04/05/2014 Update: Water bath worked. Used warm water as instructed and pressed pistol, covered in plastic trash bags, into moist holster and left 48 hours. Seems to fit and release perfectly now. Leather is still a little moist so will open carry on this bright sunny day while working on boat. That should set the leather and complete this project. (And likely raise eyebrows among fellow slip renters.)
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Vistar's post in Super tight Galco holster needs s t r e t c h i n g - But how? was marked as the answer