Rear wheel bearing issues

[doubt at inwave.com (Nate Mellom)]

All,
I took to replacing the rear wheel bearings on my (*) yesterday. I 
installed 2 complete kits: inner and outer bearings, inner and outer 
races, grease seals, axle nut retainers and cotter keys.  Packed the 
bearings with Lucas grease, cleaned and lubed all parts, packed the 
bearings tight.  Problem is, I'm getting axial play in both rear wheels. 
  I tightened the nuts to spec (every book I looked in called for just 
enough torque to be able to push the retaining washer with a 
screwdriver, or 7.5 lb/ft).  The axle stubs are in perfect condition, no 
unusual wear or scoring.  If I tighten the axle nut enough to get the 
play out, the wheel barely turns 1/8 revolution on its own power.  I'm 
reluctant to tighten them up too much.  Is there inherent slop in rear 
wheel bearings?  Should I repack the bearings, maybe there's some air 
space in them?  They were loose last night, I drove it to work today and 
rechecked (40 highway miles on them), still play.

Thanks,
Nate

(*) could be any A1/A2/A3 rear disk brake equipped VW.  Not ready for an 
announcement yet.