Here's the story. I was backing up my wife's old 2G iPhone last night which was last backed up in September. I bought her a new 3GS which I was going to jailbreak/unlock using Blackra1n and then restore from her backup of the 2G.
Problem occurred when I accidentally ran Blackra1n while the 2G was connected and in the middle of backing up. I immediately quit Blackra1n and now the 2G is stuck in recovery mode.
iTunes recognizes the phone, which is good I suppose, but all tutorials I've found to get a phone out of recovery mode don't work. The phone is running 3.0. I don't want to do a restore as all the contacts/notes/calendar entries, etc will be lost.