Thanks all for the experiments. To add to the voices: this is indeed frustrating. I created albums on my iMac using Aperture and directed iTunes to sync only those folders. Works fine one way: desktop to iPhone and iPad. But as others have confirmed, on either iDevice I don't see the option to add a selected photo from camera roll to one of those albums create don the desktop, so I have to wait to get home from trips with my iDevices to sort photos into albums. Hope iOS 6 fixes this.