My experience with the Trancend 4GB card is that both the recoding time counter and time remaining info on the main recording screen correctly display the full capacity of the card in time units. However, if you browse the menu to card information the size reported in MB, is incorrect. Browsing to song information also displays incorrect size in MB if the file is too large (presuabley over 2GB, but I have only checked it for 4GB and very small files - the small ones display the correct file size).
Sleeply, As you suspected both the USB Cable connection from the recorder and the USB thumb drive worked fine last night on my Compaq laptop. I also believe it's the built-in card reader driver that is to blame. I updated the driver which specifically addressed an issue with certain Trancend cards, but it's still not recognizing the card. I'll look into into it further, but at least I can use the USB cable connection when I go out of town recording in a couple weeks.