Well it took a while but I got it to work.
It turns out that the default music player loads the tag info and if it finds a cover encoded in that info it makes a copy and saves that file in the root of the SD card in a folder called
'albumthumbs'. These files have a 12 digit number for a file name and no extension. (kinda like the ipod stores its files.) You can copy cover images into this folder but nothing seems to work no matter what you name them.
The cover must be encoded to the ID3 tag info.
This is the method I found in another forum...........
To encode the covers into the ID3 tag you need to load the album into windows media player. Then view the album in library mode (the now playing screen will not work, must be library mode view) wait for the player to scan all tracks, (it will add a rating and search for media info). Then highlight all the tracks and right click. Choose
'advanced tag editor' from the right click menu. Make sure that all the tracks have the same artist and album info first then choose the
'picture' tab. Click the
'add' button and find the image you want to use as the cover. (thats the only shitty part, you have to get all the covers yourself but once this is all done, any player you load that file in from now on will have the cover) the picture will show up in the window, beside it will be a drop down box that says
'picture type'. click the drop down arrow and choose
'user defined' then click
'apply'. The cover will then be added to the tag info.
NOTE: if you change any tag info after this point, you will have to re-assign the picture to the track or album.
Now if you upload the albums to your SD card some of the covers still might not show up until you either reboot or sometimes you even have to play one of the tracks, stop, back out of the player then re-open it before the cover will show up. But that is a small price to pay to have all your covers attached to all your songs from now on. Its just too bad that I have about 60GB of albums to go through and update tag info.
Hope this helps somebody out. I just couldn't stand having to download a new player just so I could see my album covers.