There are plenty of other emulator posts on here, if you do some searching. I bought an emulator from Laser Motion Inc to test here at the factory and it has worked in every machine I tried it in. As far as formatting their are several things to note:

1. Different vendors use different methods to format or "partition" the drive. Read the directions carefully.

2. Some vendors use the emulator itself to create an initial folder. (Try just formatting as FAT and just drop a file from the Haas control onto it, see if it creates a "01" folder or similar)

3. To format a drive as FAT is sometimes difficult, you can use a program called swiss knife.

4. Try using a different USB, smaller if possible.