http://forums.sandisk.com/t5/Clip-Zip/How-to-creat-playlists-for-your-micro-sd-card/td-p/254068
The firmware update gave me problems. The biggest issue I have is that if I add playlists a seond time it empties the previous playlists. You have to create all of your playlists and the same time and move them to the internal memory at the same time. That takes a long time.