Ok, did some research on this Loftus guy, and it was interesting. From what I gather, in 1985 WLC told him that it would be inappropriate for him to debate a fromer student of his. It seems that this made Loftus pretty angry. He's posted all over his site that WLC is too afraid to debate him, which seems ridiculous that WLC would be afraid to debate this guy after debating bigger heavy hitters.
It also appears that the "reasons" Loftus gives for WLC not debating him were that Craig doesn't think it woudl be good for Loftus spiritually, that Loftus is not qualified, or that Craig doesn't want to turn Loftus into "Mr. Anti Christian Apologist." But all these reasons are given by Loftus himself based on secondhand statements.
Sounds like Loftus is just throwing a tisy fit because he's not heavy enough for WLC to debate.