Yes, I am changing the name of the option set when I try to save it. As I said, it is working properly on the XP box I am using at my client and I am using the identical process to attempt to save.
Not sure on the permissions. Will check when I am back to my Win 7 64 box.
I did make the assumption that because the installer created the directory it would have proper permissions as it was run under the same admin login I work from.