Elektron Musical Instruments

Greetings,

Somebody out there must know how to set up the following:

I have an MD song that I want to play and sync it up to Pro52 (VSTI) 
in Cubase VST.  I have gotten the thing working pretty well, and am 
trying to iron out the final few bugs.  Pressing play/stop on the MD 
starts up and stops Cubase (so Sync CTRL seems to work). 

I have set the elektron global sync as follows:
Sync Tempo In : Internal
Sync CTRL In : ON
Sync Out : ON

I checked in Midi-ox, and the MD is spitting out timecode, and Cubase 
does its best to sync to it, but the tempo fluctuates 100... 101... 
and watching the time value shows that it 'hiccups' and actually 
goes "backwards" in time.  i.e.  00:00:42:03, 00:00:41:16, 
00:00:44:20.  This causes the VSTI to miss notes... and I'm not 
talking about little 32nd notes, I'm talking about 6 beat long pad 
notes.

What I really need is for somebody who has gotten their box to drive 
Cubase to post the SYNC parameters.  The MD manual is pretty useless 
for this... it says nothing about frame rates.

Specifically, for the Sync source, "Midi timecode" seems the most 
likely choice.  What is MMC?  ASIO2.0/MMC?  And Framerate - I guess 
this is for tape/video editing, but what is the setting for the MD?
24, 25, 24.97, 24.97dfs???

I have tried many combinations, but damnit, it keeps dropping notes.  
Processor power is not the issue here - I'm at 10%.  The Midisport 
4x4 might be a problem... but it seems to be doing what it should.

Any help is much appreciated.

-gerald