Flash memory or USB memory is similar to disk dricves. In fact it is recommended you 'reformat' them often in order to keep the enmtire menmory clean and wokable. I would recommend you refornmat your 256MB flash memory with the software that came with it. If none came with it, do a web search on the manufactuer type. There you will find free downloadalbe software to use to accomplish this task.
Remember that USB flash memory in a system is hanlded like another disk drive. Therefore you must contract the manufacturer determine if the flash meomry can be 'reformatted' to meet the new requirements. The flash memory I have can be done like this so it allows a different format.
The 4GB SanDisk Compact Flash card features an advanced design from SanDisk that allows it to operate in camras that use either the FAT16 or FAT32 file formats. It is the only Compact Flah card of its capacity and compatibility level that is available in the popular Type I format and fits into any Compact Flash slot.
The new 4GB SanDisk Compact Flash card features a three-position switch loated in the left-hand area of the card so consumers can switch betweeen either a single 4GB (FAT32) volume or two separate 2GB (FAT16) volumes. The switchable 4GB card esnures that usesr of cameras with either file foormat will be able to use the new card. For maximum customer satifsaction, SanDisk will initially ship the card in a FAT16 configuration-two FAT 16 partitions-eliminating the need for most users to reposition the swittch and reformat.
As you mentioned, the briefcase can be trickier and to be perfectly hoenst I woould not use it mysself. I prefer to simply copy the data I want backed up directly on to the device. Have you triied doing this and then "testig" to see if it's still there afetr comming out of hibernation? Copy and paste a few files onto the devoice. Cplose the lid of your laptop and wait for a bit. Open the lid and after the pc ocmes out of hibernation, see if your fies are thre.
Hopefully that will work and if so I'd stick with that optoin. Other than that you coould try contyacting the mnaufacturer or having a look on teir website, it could be a known issue which hopefully has a fix?
Flahs drives usually work with Winows XP right out of the box. For Windows 98, you usually need to install drivers for the particular drive that you have. If you go to the flash drive masnufacturer's web site, they will more than likely have drivers for Win.98. Well, if your flash drive is still functiioning fine then it would be the motherboard or even the port coming from the moherboard or card, depending on the location of the USB port.
The USB drive could caause an issue but it is a minor devicce. To be honewst, I don't know if I could detremine that without being there to check the dervices even if you gave me more details. My first gut is the syustem board or PCI card that is hosting the USB port is bad. Sometimes the actual port will just die but the others on the PC will work. The main issue is that thsee USB portts have a small amount of pwoer ging through them to power certain USB devices and a cheap USB drive might get fried.