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Originally Posted by Brian View Post
Really sorry for the trouble here - we discovered this problem shortly after shipping. If you force the phone to refresh the screen by rotating your device, you'll be able to re-file the item at that point.
This bug has been around for a long time. Because the item-moving procedure described in the iPhone manual was obviously incorrect, I just assumed you were like most other software companies, for which the connection between documentation and software is tenuous at best.