Argh - people you need to read the topic before you do the upgrade
The contacts issue comes up every third person who upgrades.
YOU CANNOT USE ANY KIND OF 'BACKUP' APP TO BACKUP/RESTORE BEFORE/AFTER A 2.x -> 3.X OS UPGRADE.
YOU MUST USE ACTIVESYNC TO BACKUP CONTACTS/CALENDAR/TASKS IN 2.X, UPGRADE, THEN RESTORE FROM ACTIVESYNC.
Otherwise, it does not work - the database layouts changed, and on-device backup/restores don't work.
So, full backup with ActiveSync, upgrade, full restore via ActiveSync, and manual re-install of all apps.
If you're not able to sync via AS, you are not going to be able to save your contacts. No way around it.
If you don't want to lose em, re-flash to whatever you were running before and restore your backup... get Activesync working, then try the upgrade again.
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