From: Ken Restivo ken@restivo.org

It sounds good, but the latency is horrendous, like seconds, even though it supposedly has the same latency settings 128/n3 that I use on the M-Audio.

I've been tracking with it and it's a huge PITA to always have to be shifting tracks over in Ardour after they're recorded.

What's worse, there's no way to turn off hardware monitoring on it, so I can't use Fons' excellent jack_delay tool to measure the latency.
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What version of the Operating System are you using? 
I'm running 1.80   In the scroll-down menu listing, there is an entry for Monitor.  I've set it to off.   Perhaps this will help.
Here's a link to the software update if you're running an earlier version.  Be careful to follow *all* the directions exactly as given.
 
http://www.zoom.co.jp/english/download/software/h2.php
 
 
Also, have you tried using it as a USB microphone and done the recording outside of the Zoom H2?  That may help.
 
Good Luck,
Stephen.