I decided to test the Google-supplied "AOL" converter (see http://gmailblog.blogspot.com/2009/05/import-your-mail-and-contacts-from.html). To do this, I created a couple of test groups in my AOL account (using the AOL desktop software). I was sure that Google wouldn't be able to convert all my contact information, given that AOL stores a lot more information per contact than Google (note the tabs "Home," Work" and "Details", as well as the drop down combo box to the right of "Last Name").


I then went to the AOL Web interface, and it showed groups directly in the contact list. The groups (or lists, or whatever) must therefore be stored on AOL's servers (and not just on my local computer).



However, the Google importer did not import the groups:


I believe that the Google Contacts API should provide access that allows creating a group, but I don't know if AOL's API allows access. I doubt that AOL even publishes their API, so it may be a matter of some reverse-engineering to figure this out. It may be possible, however, to pull it out of the AOL "filing cabinet" stored on a user's local computer.