FileNotFoundException on Vista

I just downloaded arduino 017 onto my Vista computer.
I extracted the files to a sub-folder of my programfiles folder.
I selected the application folder and removed read-only from the entire tree.
I have 2.4.16.0 ftdi driver
I am running the application under administrator privilege.
I tried the blink example and get the following error.

java.io.FileNotFoundException: C:\Program Files\arduino-0017\examples\Digital\Blink\applet\Blink.cpp (The system cannot find the path specified)

There is in fact no applet folder under the blink folder.
I looked and there is a blink.cpp file in:
C:\Users\Don803\Local Settings\Temp\build63113.tmp

Please let me know what I may be doing wrong.

Try re-downloading the IDE, and simply extracting it to a folder on your desktop (for now)... then run the IDE from there, without changing anything. If it works, and you no longer get an error, then move your folder to where you want it, and test it again. It should still work.

Thank you.
Moving out of Program files is what it took.