We see the issues in TeamPulse a little bit differently. We look at them as team's impediments.
I'll explain you how we work and you can say what do you think about it.
For testing purpose we are using the acceptance criteria. Before we start developing a story we write and check the acceptance criteria. In general they written during discussing the story. After the story is ready for test the QA has one or more tasks for testing. The QA check the acceptance criteria and if they are not met they create a bug and associate with the story and return the story for development. In our definition of done is written that stories can't be close if there is a bugs with priority high or above.
This is the one way that we are using bugs.
Another thing is what you've described. We are using bugs for problems reported from clients. They are part of the backlog so they are prioritize, estimate and plan.
the Telerik team