When you save a Web document from Internet Explorer to a given folder, Internet Explorer creates a folder that contains all of the embedded Web files that the document requires, including images. The new folder has the same name as the Web document, with the addition of the word files. For example, if you save a file named My Document.htm, Internet Explorer creates a folder named My Document files, which contains the embedded Web files. By default, Web documents are saved to your My Documents folder.
The links from the Web document to the embedded Web files are preserved so that when you open the document again you can see all of the images that appeared on the page when you saved the document.
When you move or copy a Web document, the folder that contains the embedded Web files is also moved or copied. When you open your document in the new location, the images appear on the page just as they were when you first saved the document.