Hi John,
The BB1 will store and play FLAC, MP3 and AAC files if imported from another source ( B2 backup for example). If you import WAV files (the original format on a CD) or rip CDs to the BB1, using an external CD Drive, it will compress these to MP3.
I will find out if compress to FLAC is possible and add to wish list.
Paul
Brennan Support.