Right Click the file after you moved it to your HD and uncheck Read Only. Anything coming off your CD will be read only. The only problem I have ever had with the read only is when I was trying to import a back up.PST for Outlook 2000.
Maybe a corrupt download try redownloading. Alex has a How To http://www.pcnineoneone.com/howto.html somewhere on how to download. IE and save it in Windows 2000. It should show up in Add/Remove Programs if the upgrade took. Click on that and look at the options. Mine installed fine on 2000. I ended up getting it through Windows Update. Try going back, turn off the virus software first, that might hinder the install. Did you make the ERD? Do that first. :-) Event Viewer might give you a clue as to what happened.