How I did it...

Format External Card with File Manager
Remove External Memory Card
Flash Device
Boot
Turn Off Virtual Memory
Turn Off Bluetooth (probably not needed, I just happened to do it)

Installing console-tools

use the bulit in browser to go to: http://www.internettablettalk.com/fo...ad.php?t=25714
( http://tinyurl.com/9r7kfq )
Click on the second link that says "CLICK > Console-Tools Version 1 Download < HERE "
This will bring up a dialog to "open" or "download" - choose open. This will bring up the Application Manager - choose install when prompted.
When the process is complete you can do the next two steps that you will need much later on:
Enable maemo Extras repository
Install rootsh (Browse Installable applications > all > rootsh)

Installing Boot Menu

go to http://fanoush.wz.cz/maemo with the browser and download:
initfs_flasher.tgz

launch Xterm
(NOTE - on the following lines the $ and the # are the prompts that I see - the rest of the line is what I type...)
$ sudo gainroot
# cd /home/user/MyDocs/.documents/
# tar zxvf initfs_flasher.tgz
# cd initfs_flasher

Close all applications except for Xterm, and disconnect from internet - I went into offline mode.

# ./initfs_flash
This will ask you several questions, here is what I recommend (type what's in bold):
NOTE - stuff happens after each question - I'm much too lazy to provide the output!

continue : yes
backup? no
remove extra stuff? no <-- changed from original instructions in order to resolve boot issue
install telnet server for netowrk recovery: yes
install dropbear ssh server for advanced network recovery: yes
ready for flashing this image? yes
Press enter to reboot device (press enter)

If all is well you will get the "bootmenu" on restart - choose to boot from Flash

Install the External Memory Card
open Xterm

go to full screen mode then use the "-" hardware key to make the font smaller
$ pbeasy
(NOTE - I may be an idiot but I didn't know to use the SPACE bar to select items in pb the first few times I tried it. Use the D-pad to go to a selection and the space bar to "turn it on")

Select "Partition" and hit enter
Select the EXTERNAL card (don't forget to press space!) then hit enter
1st question 4096 then Enter
2nd question 265 then Enter
last question (yes) just hit Enter

System reboots - choose flash on bootmenu again

open Xterm
DON'T FORGET TO USE THE SPACE BAR TO "SELECT" OPTIONS!!!

go to full screen mode then use the "-" hardware key to make the font smaller
$ pb
choose MKFS (Enter)
choose mmcblk1p1 and mmcblk1p2 (and ONLY these! - Enter)
You should get a window telling you that an Unformatted Dos partition was found - choose Yes (Enter)
next you will get a window exking for ext2 or ext3 - choose ext3 (Enter)
Next you are asked to Format - choose OK (Enter)
A LOT OF STUFF IS OUTPUT HERE
Finally a "all done" message - (Enter)


NOTE - I keep getting errors from the OS saying that the Memory Card is corrupted or unformatted - just ignore them!

From the Main Menu again, choose Clone (Enter)
select mtdblock4 as the SOURCE
select mmcblk1p2 as the TARGET
Choose OK (Enter)
Choose Format (Enter ) I think this is probably redundant but this is what I did and it worked!
After sucessful formta choose OK (Enter)
Wait a fairly long time (5 minutes?) The last percent is a bit%&!
Clear the success message (Enter)
from the main menu choose Cancel (Enter)

$ sudo gainroot

Switch to home screen and change the color (this will help you tell if you are sucessful - if the color goes "back" when you restart toe xternal memory then it has worked!)
Switch back to Xterm

# reboot

On this reboot use bootmenu to choose External Memory Card Partition 2

You should see the "original" home screen color and you know you've done it! Go have a beer...

SWAP I have not been able to get working yet...

If you have any suggestions please let me know. I used pb to enable swap on 1p2 with 1p3 as the swap location but that still reports no swap in use with the free command. For now I am running with virtual memory enabled.

Tom