I wouldn't use an SD card if I were you - it's best to let the Gen3 format the card itself. Do you have a USB memory stick? Just take your books on that; you'll be able to copy the books to the Gen3 via the USB connection (assuming you have access to a PC); the Gen3 just appears as an external drive on the PC when you connect the cable.
MobiPocket format is the best to use on the Gen3. Text files and HTML will (sort of) work. Don't bother with PDF.
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