When I first loaded the app and connected it to my WD TV Live Hub, it found my photos and arranged them correctly. After a few uses, it lost all folders in the Folder View. I can still see some photos in Album and Thumbnail view, but not all of them. The only way I have found to get Folder View back is to delete the app, re-install, and let it rebuild. But then after a while it loses them again.
I have the latest version of the app and firmware on the WD TV Live Hub. I did just update firmware again today and have not tried to reload the app, but firmware docs make no mention of a fix for this issue.