Build 290 fixed my AAC problem!
It may have had something to do with how I installed it, so I thought I'd share.
Before I installed 290, I uninstalled 289 completely (left the library files, but uninstalled the files and registry entries). Prior to this, I had just upgraded and installed over the older version.
I rebooted after the uninstall and then ran the 290 setup program. I accepted all the defaults.
After it was installed, I was able to transfer .m4p files to my iPod and play them as well.
There may be some bugs left, but I'm happy with finally being able to play the songs I purchased via iTunes on my iPod!
So far with 290 I also have not had the problem of "disappering playlists" as I had occasionally with previous versions.
Anyway, just thought I'd share my good news. I'm going to go listen to "The Celtic Circle" now.. :-)

