I just ran into the same issue myself (under Firmware 1.08, though). Clicked the 'rebuild now' button, let it run for some time, but the time to complete just reports between 240-350 minutes everytime, but it doesn't seem to go down after several hours.
However, after using the telnet interface into the box (available after installing fun-plug), I was able to issue the following command:
cat /proc/mdstat
That shows the rebuild process and includes a percentage (and also the same time-to-complete value as the web-interface is showing).
The percentage is growing slowly but steadily - but the time-to-complete value is just erratic. Based on the percentage completed and the real time passed, I'm now estimating that the rebuild process will take close to 40 hours (for my 1.4 TB volume); not the 264 minutes (or something) that is indicated.
Conclusion: my rebuild is happening, it's progressing, it will (hopefully) get there. The reported time remaining is so inaccurate that it's best ignored.
Roger