No, the memo said even in AOS, your H1b could be restored by filling the petition and get approved.
question4:
1. CIS wanna terminate the policy mentioned in the "" that is why they intend to clarify this issue in the final rule.
2. then the latter sentences are self-contradiction. I really doubt its authenticity.
Altogether, this is a big unknow area in the immigration,everybody could has his own understanding. however, using EAD is not a big deal! if your I-485 was rejected, I think yourself want leave even you still have some H1 period left. if you consider H1 as a big benefit and wanna hold it forever as a precious. just do it at your own risk!