Okay, I'm home on my Windows 7 box. It has the correct time set to time zone UTC +10:00 - Canberra, Melbourne, Sydney. Daylight Savings Time begins on Sunday 3 October 2010 at 2AM (due to go forward 1 hour at that time).
It's using servers to sync the time.
In other words, the time is right on the PC

Now, what to do about the PRS-600? It's still a hour ahead..