2ndd gen Shuffle not recognized in OSX/iTunes after OSX/Itunes update

After updating two iMacs to 10.6.5 and iTunes 10.1 my 2nd gen Shuffle isn't recognized on either.
1. It still plays music so I know it's not dead
2. It stopped syncing after updating but not sure which update could be the cause.
3. I've tried rebooting the computer(s)
4. I've tried the iPod restore utility and it doesn't recognize the iPod at all.
Is there anything else I've missed?

I've had this exact issue for a couple of weeks. I finally managed to drive the hour+ to our nearest Apple store. To my great frustration they were able to have my Shuffle connect perfectly to their machine, yet it still is not recognized by my Intel Mini or my hubby's PC. It sits in the cradle and flashes yellow like it's charging, but is otherwise unrecognized by my computer. When I try the reset utility it is "aware" that my Shuffle is there, but cannot retrieve serial # data or disk spaced used...the iPod is never ready for reset.
At this point I don't know what to do...buy a new 4th gen. Shuffle in the hopes that it works? I'm not sure if the issue is with my iPod or my computer or iTunes.... I'm contemplating switching to another player entirely, even if it means having to burn all my music to CDs and reimport as Mp3s.
Adding to my frustration, I purchased my Shuffle only in April from SmallDog.com. I purchased what was SUPPOSED to be a brand new, with full warranty Shuffle. I found out today that the iPod was registered almost 2 years ago when Small Dog received it and stocked it in their warehouse, so I essentially paid full price for a shuffle sans warranty. Apparently Small Dog is not the only company that pulls this BS. A purchase may not be warrantied for a full year (or for any time) from anyone other than Apple.

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