Bilbao are unique team, with a special manager, and have seen an emergence of talented, albeit inconsistent (hence the their League position), young players. And, to be fair, Basle gave United a pretty big tonking in both their games with them, too - doesn't mean the Swiss League is any stronger for those two games.
Villarreal and Valencia hardly did themselves proud in the Champions League, did they.
Regardless of that, the main point is Real Madrid and Barcelona have turned the competition into a joke, and I refuse to take it seriously.