Hi, kananga.
The solution, as described in the FAQ, is to use a sparse image rather than a "direct" DMG. Since the sparse image doesn't get converted, it avoids the bug in the Imaging frameworks.
Alternatively, you could create a Read/Write image (which is a DMG) of the full, appropriate size, and then back up to that.
Either technique avoids the conversion, and thus works around the image framework bug in OSX.
Is that clearer?
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--Dave Nanian
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