Can they view the forums in question? How are the other forums hidden?
There is a change on the watched forum page that relates to notes that aren't set to be displayed in the list -- they will still be displayed on the watch forums page. This was a trade off for another issue.
There seemes to be no special permission for the 8 subnodes.
Display in the node list is not checked on the 8 thats probably why the dont show up, other places than Watched Forum.
The Staff forum above them have Private node checked.
And moderators have permission among others to view node.
I've applied a partial workaround that filters out forums not being displayed in the node list unless you're actively watching them. This does create an issue with last post info if you watch a forum that is a child of a forum that isn't listed (and you're not watching that forum), but that's a serious edge case.
So what you're reporting should be sorted now at least.