No, it's an old iPod - I think 3rd gen, with a black and white screen. But actually I think the problem might be that I hit the radio's "off" switch instead of letting the car turn it off automatically after turning off the ignition and opening the door. I'll try to reproduce it again to make sure.

Another thing I haven't been able to get it to do is continue playing from the last track I was playing before I hooked it up to the car - it seems to always start fresh from the first track of the playlist. I think it might be that the PAL's menu is overriding the iPod menu.

It seems to work fairly well though once you get the playlist you wanted selected and just leave it there. It isn't something you should be messing with while driving in any case.