Keith Hill inquired recently:
There are times when displaying long paths (like as a menu item) that you would like to display a shortened path. Since the Win32 API already has a CompactPath API, it would be nice to expose this via the Path class.
We completely agree Keith, this is something we haven't had a chance to get to, but it is on our radar. It won't be available in Whidbey, but keep an eye out for it in the future.