Since you're receiving the caution light in Device Manager, you are missing the necessary drivers for the drive to operate properly. (They're either not installed, corrupt, or not being seen.) I'd suggest unplugging the device, then reinstalling the software/drivers from the CD included with the drive, restarting your computer, then trying again. If that doesn't work, or you don't have a software CD, click here to download the appropriate drivers. I believe you'll want Device Updater 2.1.0 for Windows, which is almost at the bottom of the page. You may also want to try the next one, USB 2 Driver, even though it's not required for Windows XP. (It may work better than the driver being used now.)

Hope this helps,