I just did the update and lost contacts. What I found interesting as well is when I went to my favorites and the phone numbers were there, I just went to each number to add as new contact and pictures were showing up that were on others contact information. This is crazy and shocks me honestly, since I have had Apple products my entire adult life. You can go to iTunes preferences and see the latest back ups for the phone but you can't do anything with them except delete them. What a pain in the butt.