Files are displayed in the staging folder when you search a CD-RW drive

Consider the following scenario:

• When you search for files on the compact disc-rewritable (CD-RW) drive, the files may appear in the C:\Folder\CD Burning folder. This problem only occurs on computers that have a CD-RW drive. The problem does not occur on computers that have a regular CD-ROM drive.
• When CD/DVD media is inserted into the optical drive and Enable CD recording on this drive is checked on from Properties of the drive, you copy the files to the hard disk from CD-RW drive. After copy operation itself is completed, if you attempt to overwrite the files to the hard disk and those original files have the icon data from optical drive, as a result, icons of the original file to copy in the CD/DVD media are not displayed correctly.
  
  Note: The overwrite operation is succeeded even if the icon is not appeared correctly.

This problem occurs because the computer merges the view of the CD-RW drive contents and the view of the CD staging folder or the CD Burning folder in the installed operating system hard disc drive.

To work around this problem, use either of the methods described in this section.

Method one: Turn off the CD writing feature of the CD-RW drive

1. Right-click the CD-RW drive, and then click Properties.
2. Click Recording.
3. Click to clear the Enable CD recording on this drive check box.
4. Click Apply.

Method two: Use the NoCDBurning policy in Group Policy Object Editor

1. Click Start, and then click Run.
2. Type gpedit.msc, and then click OK.
3. Expand User Configuration, expand Administrative Templates, and then click Windows Explorer.
4. Under Windows Explorer, click Remove CD Burning Option.
5. Click Enable.

Microsoft has confirmed that this is a problem in the Microsoft products that are listed in the "Applies to" section.