Due to a technical glitch in my life (the wife factor), I was recently convinced to update the name of several of the Airport Express routers I have throughout my house. After renaming all of the access points (you can use Airport Utility to do this), the speaker names were still not correct in iTunes. After a reboot and some other monkeying around, I found the solution.
In Airport Utility, manually update your access point’s configuration, and then select the Music tab. On this tab, you can set the name of your remote speakers. After your Airport restarts, you will see the new remote speaker name appear in iTunes.

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