Seeding means that the download is complete and that you are now sharing the complete download with the other peers. It's best to leave your client on to help those who haven't finished yet.
The file you downloaded isn't huge, it's been compressed to about 60% of the size of the uncompressed audio. If you get foobar2000 you can listen to the files on your computer and decode to wav for CD burning. If you also get the Lame mp3 encoder you can transcode to mp3.
http://www.foobar2000.org/beta/index.html (The latest version has a much improved user interface though it's still beta)
http://www.rarewares.org/mp3-lame-bundle.php
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