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I have exactly the same problem. One thing I noticed is that after installing WM5 the battery was runing extremelly fast. I checked the speed on the device and it was set in "auto" but it always showed 624mhz.
I got so frustrated that I downgraded again, like you, and also had the same issue of the device being dragging on the setup screen. (I really do not logically understand why this is happening).
Also, it is very stupid that a PIM backup from 2003 can not be restored with WM5. What they expect??? people retyping all their contact information again?
They rename this WM5 as an upgrade.... well it isn't.... if you can not port your info back in an automatic way.
I just hope they do fix all these issues really fast...
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