Its due to the kernel's Sys & Data boot parameters. Just use any of the newer kernels which carry support for both NAND and SD
Ainol Novo 7 Fire 16GB
Paranoid Android 3.0+ 4.2.1 @1280 | GT-N7000 Fingerprint

Motorola Atrix 4G MB860
CyanogenMod7.2 [self fiddled]

Retired:
LG Optimus LTE U+ LU6200 (Gave up on it within 3rd week of purchase)
Motorola Defy (loved the most)
zte Blade
HTC Kaiser (HTC TyTn II)
HTC Excalibur (HTC s620)
HTC Tornado (imate SP5)
HTC Typhoon (SPV C500)
HTC Voyager (SPV E200)