Ha, you know what, I work at Carleton University (as a biologist and graduate student) in a lab that works with caterpillars and butterflies... we just had a huge discussion on this research this week, and now I see it here on neatorama! Interestingly, the memories are only preserved if they are encoded at a certain age (5th instar). Memories encoded too early will not persist after metamorphosis. It's interesting that the memories can persist because so much of the caterpillar's body (including the brain and nervous system) is drastically reorganized as it turns into a butterfly or moth... Anyway, it's pretty neat...
Yay for neatorama!!

Ombor Mitra