In the people hub, I see all my conatcs from Windows live, great.
There don't seem t be any sorting options, all the people appear as first name last name. I would prefer last name, first name but don't see any way to do it.
Go to Settings, swipe over to Applications, then pick people. This will give you the option to sort by first or last, and to display the names by First Last or Last, First. Along with several other cool settings like Excluding Facebook friends not in contact list.
-Shelby