multiple files after 'backup and convert' during upgrade to 4.0

I have opt for 'backup and convert' in the course of upgrading to 4.0. Now that the upgrade is finally over (with a number of nervous moments and much sweat and anxiety), I am puzzled by the deep nesting of the 'MS Win XP (Backup)' folder in the MS Win XP.pvm file. By deep nesting, I mean that each such folder in turn contains another folder of the same name. This nesting goes for more than 10 levels. Each of such folder contains 3 .hdd files and an identically named folder ('MS Win XP (Backup)').

Another puzzling aspect is that I have two data drives in MS Win (XP Pro SP3) which are large by size (say 80GB). But yet after the upgrade there are 3 .hdd files as mentioned above with the names being disk2.1.hdd, disk2.hdd and disk3.hdd. I wonder what is this disk2.1.hdd and how does it come about.

Do or should I do anything to get rid of the deep nesting and all these identically named .hdd files in each of the nested 'MS Win XP (Backup)' folder?

How can I copy the first of the 'MS Win XP (Backup)' folder to say an external drive so that it doesn't clog up my Macbook's hard disk? I have to dump a lot of the Mac applications during the upgrade to complete the process, would I be able to download them from Apple when I do a software update check?

I really feel that the upgrade process can be programmed to be a much better experience given the mission critical nature of the software. Eg how about giving an estimate of the hard disk space requirement and the completion time in advance so that users can plan accordingly. Why can't compression be built into the 'backup and convert' process?

For those who have suffered much during the upgrade process, I share your views. Hope that Parallels would learn from this.

 

Can Parallels staff help? I am running out of hdd space on my mac so i need to move the 3.0 backup file off the hdd soonest. I have already lost data due to the VM running out of space. Thanks.