I've already sent you an Email in response to this issue, but wanted to follow up on this forum as well, for the benifit of others reading this thread.
I did get yoru Email with the attached JPEG file, and from my tests, I could not open the file either. However, unlike you, I could not open the file at all, not even with Nero PhotoShow Express 1.0.1 Build#214 which is the free one we provide on the website and with all OEM and Retail builds.
I could not open the file with Paint, Nero PHotoShow Express or Elite, Nero PhotoSnap, Microsoft Picutre and Fax Viewer, or Adobe PhotoShow Elements. Adobe PhotoShop Elements did come back with a more useful error message saying: "Could not complete your request because a JPEG marker segment length is too short (the file may be truncated or incompelte)"
I then connected a Digital Camera up to the system and used Nero PhotoShow Express 1.0.1 Build#214 to import the pictures from the Camera to the program. And then I tested those very same programs as mentioned above to see if I could open them. And in all cases I was able to open them and edit them with all programs.
I must say that this issue is not caused by NPSE saving them in a format not useable by any programs, as even NPSE can not even see the file to import it.
In your Email, you mention that you had backed up the pictures to a CD, and you also have them on your desktop. Did you send me one that was burnt or backedup to a CD? If so, please send me one of the original files from off your computer in the My Pictures folder so I can test with that. As it's possible to have a poor or bad burn and the resulting data can be seen but not opened.