I don't think the fact she's trying to breed a new breed of cat has anything to do with these kind of defects. They happen, not often but now and then and it's not an inherit trait. It's a congenital defect that mostly occur in moggies.
The sad thing is that she's trying to keep the kitten alive. To my knowledge not one single cat with this kind of defect has grown up and reached adulthood. They've all died as kittens.
I wasnt trying to start anything. Sorry, Dont get me wrong i love cats. Maybe this will even be one of a few that do live to adulthood. All i ment by out comes is one out of the litter, not necessarliy because of the new breed thing.