arms. go away.

As long as you're losing weight (ideally fat) it'll eventually happen. Fat disappears from wherever it wants really (usually on women, hips, thighs first since thats where most of it lies).

Your best bet is keep up with the upper-body weight routine, it'll help preseve the muscles you have up there, then continue being in a calorie deficit to hopefully lose the fat around it.

Once that stubborn fat finally goes away, your muscles youv'e been working so hard at, will show through better.

tricep dips

Agreed. Triceps make up the most muscle in your arms but aren't worked out nearly enough!

Laying flat on a bench and doing "skull crushers" is awesome too, such a great exercise because I find that they isolate my triceps a lot better than machines/cables because I'm forced to keep the elbows at a strict 90 degree angle and lift and lower without any movement from the arm aside from the forearm lowering and lifting, strictly from within the tricep rather than some of the cables which if form isn't 100% you get a lot of extra upper body muscle groups coming into play. Also working in the 12-15 rep/failure until it burns weight range is a huuuuuuge asset in arm toning. If you can make it to 12 reps without it hurting and having to exhale harder on the exertion you are lifting to light to build em up. I know how much this sucks, I'm still working on mine despite being an avid bodybuilder/power lifter, but after 2 kids (2 and 3) the skin there needs to be filled out because it doesn't seem like it wants to go anywhere despite being 15% BF. :O Keep at er.