My biggest issue is writing images to floppy disks. I have posted it to Atari forum (http://www.atari-forum.com/viewtopic.php?f=15&t=25490
) and it should work but I can't make it work. It could be the PC floppy drive or ST floppy drive. It is hard to troubleshoot without access to another ST machine or another PC.
Since then I bought 200+ floppy disks from eBay and I can read most of them. Some are programs are bombing out, some spit out TOS error #35 and some disks are unreadable.
If you have suggestions how to test/configure things please let me know.