Nero Back It Up vers. 1.2.0.60 compression error?

This is the first time that I have tried to use this option in Nero 6.6.0.18. My OS is xpsp2.

I selected the application set up which I saved to my desktop and went through the steps. The app was 2.43 MB and at the end of the back up burn, it indicated that it was successful.
Then I went to open the back up which it indicates is on my CD, however it indicates an error "unable to decompress file".
Does anyone know what I did wrong?
I might be missing a program to do this? Does Nero not decompress its files?
I hope that some experienced member may help.
Thank you.