A fading broadcast channel is considered where the transmitter employs two antennas and each of the two receivers employs a single receive antenna. It is demonstrated that even if the realization of the fading is precisely known to the receivers, the high signal-to-noise (SNR) throughput is greatly reduced if, rather than knowing the fading realization precisely, the trasmitter only knows the fading realization approximately. The results are general and are not limited to memoryless Gaussian fading.