That segment sucked, Flair no sold every shot except for the camera. When you can't move over to a barricade without looking like a wounded penguin, you know you're too old.
Although that thing with the watch was gold. I'm surprised they didn't do that during the HBK/Y2J program.
I don't think he no-sold anything at all, in fact I think he was selling the shots very realistically. The original punch obviously dazed him meaning he wasn't going to throw himself about when Jericho connected with further punches, and in reference to those saying Flair is too easy to make bleed: try taking a punch direct to the side of your eyebrow and see if it doesn't make you leak like a sieve. There's
a lot of capillaries up there that are very close to the surface of the skin.
Anyway, when Flair went down he was getting punched in the forehead while still being out of it, hence why he didn't do the over-dramatic selling that we're used to, but rest assured those punches were definitely connecting. Just look at Jericho's knuckles at the end of the segment.
I thought his bit on the mic was excellent and the promo in general was very well done. Almost got me looking forward to a match that is bound to suck balls, which is to it's credit.