Perfect Rebound on a movable object

Okay, I've recently purchased the T2D engine and am now trying to delve into it by starting with a Breakout type game. I have to admit, I'm trying to get used to the physics involved here. I can get rebounding off the walls and bricks (though I'm still tweaking the bricks), but the paddle is giving me fits.

According this thread: http://www.garagegames.com/mg/forums/result.thread.php?qt=27340, Melv mentions that to obtain perfect rebound, the following has to be set:

Source Restution = 1
Source Friction = 0
Destination Density = 0 (Immovable)


Now, it's obvious that you can't have an immovable paddle, but I've done so anyways and all is right when it does hit it. But, when I set it back to movable, the ball loses velocity when it hits.

How can I make the paddle moveable and still get the desired result of the perfect rebound? Does this mean that I'm going to have to code my own physics?

Thanks,
Dan