I have seen nor heard any mention of folders in the new Logic 7. I hope the folder concept hasn't changed from version 6. I record separate verses in separate folders, mute all but the one I'm working in and then arrange ghost folders on the time line. In this way, Logic is much like a pattern sequencer. I developed working this way from the Atari Creator/Notator way of working. To me, Logic's folders are what separate it from every other sequencer. Cubase's new pattern sequencing function doesn't quite cut it yet. The ability to pack up to a whole arrangement in a folder and move it on the timeline is a powerful feature in Logic and it is the biggest reason I switched from PC to Mac. I hope the current use of folders in Logic NEVER goes away and it is the single biggest difference between it and other sequencers. I switched to Cubase and came back because of the static folders in Cubase. What I wish for now is PDC and better audio editing like Cubase (and a 90 day grace period for people who just bought (doh!) Logic 6 like I did).