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Originally Posted by GatorDeb
Can you have Collections on the device or is it only on the memory card? How do you create Collections? Thanks! 
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Yes you can have collections on the device. Using the Sony software you click the little plus sign in the bottom left corner. That will create a blank collection you can then name & add books to, kinda like a playlist on an MP3 player.
It's not as good as having a foldered file system would be, but it does help with organization.