Ok, so so I got a 16gb SDHC class 10 card for my Pi because it was all the store had & it was only $20 on sale. Anyway, I followed the guides and used win32 disk imager on it to add the mine peon img file. After that I went to the drive in My Computer and viewed it's properties and it's showing used space 0 bytes and 89.8mb free space... so WTF just happened ? I went back in to properties and hit format and nothing happened, still showing the
DRASTICALLY reduced drive size.
Edit: This is what computer management shows in XP...