Path Too Deep Error

 For the last three days I am getting this message "Cannot copy 'filename': Path too deep" whan I copy any file to my USB pen drive from the PC.

I am running XP2 SP2 - 160 GB Seagate HDD, 1 GB RAM and the usual CD/DVD.

I have already tried th following:

1) Reformatted the USB drive (Transcend 2GB) as FAT32

2) I have switched using the USB ports on the PC

3) I have changed the USB Cable

4) I have copied files to the USB stick without problem from the office computer running WIN 2K.

5) I have reduced the Path variable to about 32 characters on my PC

6) There are no files in the root of the USB stick. Only three folders with no "long file names", thought the files inside do have long file names. 

7) I can copy files from USB stick to the hard drive without problem.

8) I am using Comodo Pro firewall, Avast AV and use the anti rootkit and CCleaner etc. suggested by thi swebsite regularly - no probems at all.

8) i have yet not thrown away the USB stick as it seems to be ok.

Any help would be welcome to solve this problem.

Mytor