Itunes question

[Cunny]

Installed itunes on my external hard drive, made sure the itunes library was set up to point at the extranal hard drive as well.

When I import a cd to the library it transfers to the external hard drive ok.

 

However, with each CD I import it's taking up space on the c:drive as well. I can't actually see where space is going from but when I look at the properties of the c:drive after each import there is more used space and I was doing nothing else. Any ideas? The whole point I got the external hard drive was so I could free my c:drive up!