Does that apply to bitmap fonts created from TTFs, I wonder?!
I would have to assume it does. When I was trying to license some fonts for my game, I emailed the owners of each ( of three ) fonts I wanted and asked them how much for a license to use one font in a game. They said $5,000. I said remove your head from your posterior and try that again. They said no, that's the best price. So I asked them what was to stop me making a bitmap font of the image, and using that, negating the necessity to pay them a cent. Wouldn't they be better off making me a sensible offer to at least get something for it? None of the three replied, so I have to assume that nothing would prevent me, or anyone else, from doing that.
Of course, I didn't do it, because I wouldn't even give them the satisfaction of knowing I used their fonts after they tried to bilk me for $5k for a poxy font. Moreover, I don't think the copyright office has this one right, morally at least. You shouldn't be able to take it for free just because it's an image, because - as you indicate - bitmaps can be used as fonts too. But I wouldn't blame anyone if they were faced with people trying to get five grand out of them.