1. Files are red because they're not being shared. See How to Share Folders (click on link)

2. Drag the corner of the interface or, grab the divider points & drag. See Drag window paritition up (click on link) image example.
ALso http://www.gnutellaforums.com/showth...threadid=34497
Two options: 1. Click on the small arrows on the LW main window. If that doesn't work click the other arrow. 2. Drag the partition up or sideways; see examples here: Example A (click on link) & also Example B (click on link) (click on arrows to show single window)