This is known issue that MTU is addressing.
If you pressed cancel instead of save the drive will work even though it is marked as bad. Have you tried importing a CD+G track yet?
If the drive isn't working, this fix will get you going until the issue is resolved:
http://forum.mtu.com/showthread.php?t=11335
Let me know how it goes. There is one other fix that I can give you if this doesn't get you going. It's not as bad as it seems.
Jim
