1) Yes, an FCOT is commonly reffered to as an SFP.
2) ELP = Exchange Link Parameter (or Protocol?)
ESC = Exchange Switch Capabilities
These both have to do with link discovery and negotiation. If you have a failure of this kind on an interface, it would mean your port failed to negotiate a link with whatever its connected to. There are many possible reasons for the errors and would require further investigation...possibly a trace.
Hope that helps...