Disk Utility doesn't finish creating new disk image - naming issue??

Question

Recently I upgraded to Snow Leopard and carried along an empty disk image created in OS 10.4.11. I use these for archiving data on read-only DVDs and password protect the images.
In the earlier OS, I found the practical limit for the dmg was 4.3 GB, containing 4.27+ GB of data (anything larger failed when attempting to burn data DVDs). Today, when I looked at my empty dmg file, the OS 10.6.6 Finder showed it to be larger both inside and outside (just under 4.7 GB inside I think - didn't write it down). I suspected that it may be corrupted or at least not give correct directory information, so I deleted this dmg as a precaution and tried to make a new one with the old size by selecting custom size within Disk Utility. Now every time I try to create a new dmg this it stalls at about 100 MB.
The image format panel has several additional settings in OS 10.6 . There are two places for names - in the "Save as" field above and in the "Name" field below. (Haven't yet found any documentation where the reason for this is explained or which lists possible name limitations. The Help info appears to be identical to what was in 10.4) I've tried making both names the same, but it still stalls
Disk Utility settings:
Save as __Diskname
Name in lower field __Diskname (have also left it blank no difference)
Custom 4.3 GB
Mac OS Extended (journaled)
128 bit encryption
single partition
read/write format* (also tried CD/DVD master - no difference)
* All files are not necessarily added at once so I'm pretty sure I want this to be read/write
Message was edited by: James Kilgore
In case this isn't obvious I mean read/write formatting on the hard drive, but when burned the format will remain the same whether or not the disk used is rewritable

Answer 1

Hi Michael,
Did you reformat it HFS+ or something else?
Some USB2 Flash Drives Write at a disappointing USB1 speed, but Read at USB2 speeds.
From what I can find, that isn't one of them and should take maybe an hour & a half to transfer 30 GB to it. Of course if write speed IS USB1, then you could expect 2 days or more.
I'd stop it. Reformat it, then make the Image on the HD and try transferring it.