At the Egyptian border the rate is 1.56 LYD per US dollar. On the black market here in Benghazi the rate is anywhere between 1.7 to 2 LYD to a dollar (depends on your negotiating skills really). The black market can be found in the "Souk al-Jareed" neighborhood. Take care when going there though as it is one of the older, poorer parts of the city. The rate used by Western Union (which is still working normally)is 1.3:1.
For those folks who left and still have a bunch of dinars: I'd hold on to them for awhile. They may not be worth much to you know now but they might just be worth something a year or two from now.