>> Is there a lag between updates and toolbar?
Yes, I've notice a minimum delay of about 1 week but it can take months. The actual PR of the site is continually changing.
Currently PR and the automatic site wide penalties "seem" to be kept separate. I assume this will change in the near future.
At the moment it is possible to have a high PR site (as indicated by the G toolbar) and receive no referrals from G. :-(
Ballswinger, I have had the same thing happen to one of my sites, unfortunately my Googlers were buyers not browsers.
Have you checked to see whether you are still in the index?
If you are then at this stage I wouldnt worry to much, just patience and see what happens at the next update.
Yesterday my site returned at number 1 but has again disappeared.
Although googlebot still visits everyday the cache was showing as Feb 20 and still is.
I think this is just another one of the google blips.
Pr has nothing to do with the serps but if it had disappeared then I would be worried.
Put any search term into google, look at the top 10 results.
You will have various pr some low,some high, some none, for the web pages that come up.
Then look at the next 10,some high, some low, some none.
Same again.
Google pr is now very low on relevence , which is why when you look at backlinks for your site in Google you will see fewer than if you look at the backlinks on other search engines.Google is aware that the easiest way to boost pr is to just buy a couple of high ranking links.