EDITED 9/27/06: my attempt at a tutorial for making this needleroll is found here.
Given that writing is taking up *WAY* too much of my time these days, I haven't accomplished much knitting. I'm still working my way up (slowly) on the Lorna's Laces knee high sock. But I do have a photo of the needle roll case which I sewed a few months ago. I simply took two placemats, folded one up in the middle of the other, sewed numerous lines to create needle slots, and tied a ribbon around it.
I apologize for my lack of clear directions, and I would be more specific about how I did this, but I don't have a good photo to show you of the case opened. Therefore, given I'm such a visual learner/instructor, I'll take a clearer photo of the needle roll opened right up, and then I'll do my best to give clearer instructions on how to take two placemats, and make them into a handy roll for your precious needles.
Until then--EDITED 9/27/06: my attempt at a tutorial for making this needleroll is found here.